Downturn puts a stop to projects

The economic downturn has caused "a substantial number" of large Auckland building projects to be put on hold.

Zoltan Moricz of consultants CB Richard Ellis said 50,000sq m of commercial and industrial building work in Auckland's CBD had been shelved.

He said the CBD had the most development activity on - just over 190,400sq m, of which 82,700sq m was now under construction.

"A substantial number of projects is on hold especially in the CBD (50,000sq m) and CBD fringe (59,800sq m) due to the difficult market which developers are currently facing," he said in his Auckland development monitor.

Some of the big projects involved include Cooper & Company's waterfront hotel, the Soho Square project in Ponsonby and Rhubarb Lane in the CBD, although Kellands is still marketing it. That site goes up for auction next Wednesday.

Soho Square in Ponsonby is one of Auckland's big building projects at a standstill. Photo / Paul Estcourt

To read the full NZ Herald story click here

Posted: 3 Dec 2008

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