LOOKING OUTSIDE THE BIG SMOKE

Think commercial property and the odds are that big city office blocks and mega retail complexes are what spring to mind. Whatever the sector, it’s the markets of Auckland, Wellington and, to a lesser extent, Christchurch that command attention.

But after several booming years for commercial property in those markets, some are now describing them as “overheated” while investors are seeing a decline in returns. Similar to what has happened in the residential market, it’s leading people to look further afield and assess the possibilities in smaller, regional markets.

Long overshadowed by the main centre markets, the time has come for commercial property in the regions to move into the light. And, as they do, it’s evident that some are buzzing and there are indeed opportunities for investors willing to step outside the big smoke.

However, it’s all about location, location, location in commercial property. While it’s important to establish what is going on economically in the area around any potential investment, in a smaller