About Palmerston North
Central Government has identified Manawatu-Whanganui as a surge region and with this growth brings significant opportunities around labour
shortages, housing and rental shortages and rising house prices due to supply and demand. Identifying markets where the demand for owner
occupier and rental dwellings has robust, incremental growth is key to realising the capital and cash-flow potential of your property
A thriving Palmerston North is attracting investment into future-focused industries. The region is a national centre of excellence for food
innovation and agribusiness research. Food HQ constructed at Massey University, is leading the way in agri-food science and agri-tech. With
$250 million to be invested in Food HQ over the upcoming years and the high concentration of world-class research and business
collaboration on offer, Palmerston North is on track to be the Southern Hemisphere’s powerhouse in the increasingly vital food sector.
Palmerston North acts as a central hub for the North Island with highway, rail and air connections to major centres and regions in all
directions, enabling a successful distribution and logistics centre.
The region already shifts six times the freight of Taranaki and two and half times as much as Wellington. Future development will enable
even greater opportunity in this critical sector. The region will see three-billion dollars’ worth of commercial and central government
investment in infrastructure and construction which is underpinning the region’s rate of growth. Construction of the new KiwiRail regional
freight hub, development of a Regional Ring Road and completion in 2020 of an expressway linking Levin to Wellington will be game-changers
making it easier to move freight through the region.
The mighty Manawatu is a great place to live, work, do business, study and is ripe for investment potential. Importantly when future
proofing your investment, the region’s growth is supported and celebrated by an award-winning planning team focused on developing an
environment that enables outstanding quality of life, while providing a sturdy foundation for business.
Manawatu-Whanganui average house prices rocketed to a record high of $348,000 in January, shooting up 21.7 per cent over 2018 – the fastest
annual growth in the country. Palmerston North is one of the city’s leading the country in terms of rise in house prices, growing almost 15%
in the last year as of March 2019 with a median sale price of $415k.
The average current house value in Manawatu was up 10% in April 2019 compared with a year earlier. Growth outperformed relative to New
Zealand, where prices increased by 2.3%. The average current house value was $403,192 in Manawatu over the March 2019 year. This compares
with $680,063 in New Zealand.
Building consents in the region were very strong in 2018. The value of residential consents in the region grew a significant 31 per cent in
the year to December 2018, compared to 6.1 per cent growth nationally. This is further evidence of the nature and approach of the future
focused Planning Team.
In Palmerston North, the median weekly rent price hit a record high of $390 in February, up 13 per cent on the previous year. Demand jumped
significantly too, up 32 per cent, while the supply of rental properties dipped dramatically by 29 per cent. During the competitive student
fuelled month of February, the Manawatū's vacancy rate was comparable to a big city, at less than 1 per cent.
The annual percentage rental increase in Manawatu/Whanganui at Feb 2019 was 9.4%, second only to the Hawkes Bay.