JLL's Christchurch industrial market dynamics provide property insights into warehouse vacancy rates, development activity, and rental trends in the South Island.
Insight
12 February 2026
Christchurch Industrial Market Dynamics Q4 2025
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The vacancy rate for 4Q25 stood at 5.9%, which is a 70bps increase from 2Q25, as demand has moderated and supply has increased over the past few months.
Across the precincts monitored, vacancy rates stand at 6.1% for West (+50bps as compared with 2Q25), at 4.9% for South (+160bps as compared with 2Q25), at 6.7% for East (+70bps as compared with 2Q25), and at 4.1% for Rolleston (+60bps as compared with 2Q25).
There was approximately 26,000sqm of warehouse space completed in Hornby and Islington during the last six months. There is approximately 180,000sqm of industrial space under construction.
For the sixth consecutive quarter, rents across all property grades held steady. This follows growth in a previous quarter (4Q24), where prime average net combined rents rose 3.7% to NZD 169 per sqm p.a., and secondary average net rents climbed 5.1% to NZD 124 per sqm p.a.
Prime warehouse rents range between NZD 135 per sqm p.a. and NZD 150 per sqm p.a., while secondary warehouse rents range between NZD 105 per sqm p.a. and NZD 125 per sqm p.a.
Fully leased across six tenancies, including Mainfreight subsidiary Owens Group, a portfolio of four properties located at Baigent Way, Middleton, was sold to a private investor in August 2025, for approximately NZD 40.44 million. Another notable transaction was the sale of 6-8 Jipcho Road, Wigram, for NZD 12.15 million.