Building activity up with mixed results

The seasonally adjusted volume of building activity rose 1.1 percent in the December 2010 quarter, but included very mixed results, Statistics New Zealand said today. This overall increase includes a large (10.6 percent) increase in non-residential building work and a large (7.1 percent) decrease in residential work.

The volume of non-residential building work rose 10.6 percent in the December 2010 quarter, its fourth consecutive rise. The latest rise takes the volume of non-residential building work above residential building work for only the second time since the series began in 1989. (The only other time was in the June 2009 quarter.)

The volume of residential building work fell 7.1 percent in the December 2010 quarter, its second consecutive fall. It fell 5.9 percent in the September 2010 quarter.

In the December 2010 year compared with the December 2009 year, the unadjusted value of:

• all building work was $11,075 million, up 2.8 percent
• residential building work was $6,258 million, up 6.5 percent
• non-residential building work was $4,817 million, down 1.6 percent.

Data on building activity is obtained each quarter primarily by a postal survey of around 3,500 builders, owners, and other building consent applicants. 

Geoff Bascand 8 March 2011

Government Statistician