Terraced housing such as that pictured here on Domain Terraces on George St, Newmarket, opposite the Auckland Domain, may be preferred by some home buyers.
Terraced housing such as that pictured here on Domain Terraces on George St, Newmarket, opposite the Auckland Domain, may be preferred by some home buyers.
Living somewhere convenient is more important to Aucklanders than having coastal views, according to Auckland Council.
New council analysis - based on 2024 property valuations and a new spatial demand model – has revealed how residential land values vary across the city.
The highest values are in Takapuna, thesuburbs west and east of the CBD, and in the Eastern Bays.
Values are slightly lower – but still above average – in East Coast Bays, the Devonport peninsula, Hobsonville, the main city isthmus, Howick, Tōtara Park and Manukau.
The lowest land values are in the Massey West, Glen Eden, Māngere and Ōtara areas.
Auckland Council chief economist Gary Blick said the biggest factor driving land values was proximity to commercial centres, particularly the CBD.
“Demand tends to be stronger in central locations and locations that are closer to things people need in their daily lives, such as access to services like shops as well as transport links and also jobs.”
Estimated residential land values per square metre. Image / Auckland Council
Blick said some land could command higher values because it is close to natural amenities, like beaches, coastlines and parks.
“[Some] people want a bit more people space and happy to live a bit further away and travel a bit more.”
Transport corridors – particularly major train stations or transport hubs – can also increase land values.
“When you’ve got a rapid transport network that gives you the frequency and speed – like around those station catchments – people are prepared to pay a little bit more for those locations and the convenience they offer.”
Land values can often differ significantly from housing prices, depending on how many homes have been built on land or could be built on land under planning rules.
“When you enable more intensity or more flexible use of land, it can be used more productively and that’s capitalised into the land value,” Blick said.
“Even though the land value goes up, you can use it more flexibly and you can use less land per home.
“You’re giving the person the choice to use less land and perhaps have a terraced house or townhouse-style home.”
Michael Sergel is Newstalk ZB’s business reporter, covering the daily life of business and the business of daily life. He’s been covering business, politics, local government and consumer affairs for over a decade.
