RLB CRANE INDEX®
The New Zealand RLB Crane Index® fell by 10.8% to 157 index points, representing the removal of 15 cranes.
RESIDENTIAL CRANE INDEX
The residential index fell dramatically for the fourth time since the high of Q3 2022. The 27% drop to 100 index points reflects the lowest index value since Q3 2015. There were 22 long-term cranes across centres nationally.
NON-RESIDENTIAL CRANE INDEX
6.3% from the high of 191 last edition. The index represents 102 non-residential long-term cranes across the major centres of New Zealand.
Q3 2024
Highlights
- Cranes across the seven centres totalled 124, a fall of 10.8% since Q1 2024
- The Auckland crane index fell 14% since Q1 2024 and is at its lowest count since Q3 2016
- The Wellington crane index fell to a record low with only five long-term cranes
- Both Dunedin and Tauranga bucked the national trend and recorded their highest long-term crane numbers since the commencement of the index
- The residential index fell for the fourth successive edition, dropping to 100 (22 cranes). Since Q3 2022 (76 cranes), the index has fallen 245 index points to 100, the lowest level since Q3 2015
- The non-residential index fell by 12 index points from the record high of 191 in the last edition (from 109 to 102 cranes)
- The proportion of residential cranes across New Zealand continues to fall from the peak of 57% two years ago. Currently only 17.7% of cranes are on residential developments, the lowest proportion since Q1 2015
- With ten cranes on-site, the Te Kaha Christchurch Stadium continues to have the greatest number of long-term cranes on a single site in the country
Gross Domestic Product (GDP) data for the March 2024 quarter revealed a modest increase of 0.2% in economic activity across New Zealand. While this is a slight improvement from the previous two quarters of decline, overall economic performance remains subdued.
The sluggish economy is reflected in the Q3 2024 RLB Crane Index® movement. Total long-term cranes across the key centres fell by 15 or 11%. This was largely due to a significant drop in residential cranes, which were down by eight, or 27%. Overall capital investment contracted by 1.3% during the quarter, reflecting business caution amid high interest rates and uncertain demand.
There was a net decrease nationally of 15 long-term cranes (down 10.8%). 53 cranes were removed from sites, while 38 new long-term cranes were placed on sites. Only the civil, data centre and industrial, and retail sectors saw net increases.
New Zealand’s residential crane index value decreased again to reach 100 index points, down from the 136 points recorded in the previous edition. This is the lowest index number recorded since Q3 2015. The current index value represents only 22 long-term cranes, down from 30 previously. Residential cranes now make up only 17.7% of all cranes in New Zealand.
Both Dunedin and Tauranga recorded their highest crane numbers since the commencement of the index, with eight and 13 long-term cranes respectively. Wellington recorded the lowest crane numbers since the commencement of the index with only five long-term cranes, down from ten in the last edition.
Q3 2024
Summary
| City | Change | |
|---|---|---|
| AUCKLAND | -11 | |
| CHRISTCHURCH | -4 | |
| DUNEDIN | 1 | |
| HAMILTON | 0 | |
| QUEENSTOWN | -3 | |
| TAURANGA | 7 | |
| WELLINGTON | -5 | |
| Sector | Change | |
|---|---|---|
| AGED CARE | -3 | |
| CIVIC | -3 | |
| CIVIL | 4 | |
| COMMERCIAL | -2 | |
| DATA CENTRES | 3 | |
| EDUCATION | -3 | |
| HEALTH | -1 | |
| HOTEL | 0 | |
| MIXED USE | -1 | |
| RECREATION | -3 | |
| RESIDENTIAL | -8 | |
| RETAIL | 2 | |
The impact of high interest rates on demand is becoming increasingly evident. The New Zealand Institute of Economic Research (NZIER) Quarterly Survey of
Business Opinion indicated a decline in business confidence and a net 28% of firms reporting reduced activity in the June quarter. Additionally, a net 61% of firms now cite a lack of sales as the primary constraint on their business, up from 42% a year ago.
Challenges faced by businesses, including uncertainty surrounding government policies and construction pipeline, and the broader impact of higher interest rates, have contributed to weaker demand across sectors. As a result, firms are scaling back staff numbers and investment plans. A quarter of firms reduced their headcount in the June quarter, and many are planning to reduce investment in buildings, plant, and machinery.
Q3 2024
Crane Activity
By City
OPENING / CLOSING COUNT COMPARISON
| OPENING COUNT | MOVEMENT | CLOSING COUNT | |||||
|---|---|---|---|---|---|---|---|
| Q1 2024 | % | NET | Q3 2024 | % | |||
| AUCKLAND | 79 | 56.8% | 18 | -29 | -11 | 68 | 54.8% |
| CHRISTCHURCH | 24 | 17.3% | 4 | -8 | -4 | 20 | 16.1% |
| DUNEDIN | 7 | 5.0% | 2 | -1 | 1 | 8 | 6.5% |
| HAMILTON | 2 | 1.4% | 1 | -1 | 0 | 2 | 1.6% |
| QUEENSTOWN | 11 | 7.9% | 3 | -6 | -3 | 8 | 6.5% |
| TAURANGA | 6 | 4.3% | 8 | -1 | 7 | 13 | 10.5% |
| WELLINGTON | 10 | 7.2% | 2 | -7 | -5 | 5 | 4.0% |
| TOTAL | 139 | 100.0% | 38 | -53 | -15 | 124 | 100.0% |
By Sector
OPENING / CLOSING COUNT COMPARISON
| OPENING COUNT | MOVEMENT | CLOSING COUNT | |||||
|---|---|---|---|---|---|---|---|
| Q1 2024 | % | NET | Q3 2024 | % | |||
| AGED CARE | 9 | 6.5% | 1 | -4 | -3 | 6 | 4.8% |
| CIVIC | 8 | 5.8% | 1 | -4 | -3 | 5 | 4.0% |
| CIVIL | 28 | 20.1% | 11 | -7 | 4 | 32 | 25.8% |
| COMMERCIAL | 19 | 13.7% | 6 | -8 | -2 | 17 | 13.7% |
| DATA CENTRES | 4 | 2.9% | 4 | -1 | 3 | 7 | 5.6% |
| EDUCATION | 8 | 5.8% | 0 | -3 | -3 | 5 | 4.0% |
| HEALTH | 10 | 7.2% | 1 | -2 | -1 | 9 | 7.3% |
| HOTEL | 1 | 0.7% | 1 | -1 | 0 | 1 | 0.8% |
| MIXED USE | 6 | 4.3% | 3 | -4 | -1 | 5 | 4.0% |
| RECREATION | 13 | 9.4% | 0 | -3 | -3 | 10 | 8.1% |
| RESIDENTIAL | 30 | 21.6% | 7 | -15 | -8 | 22 | 17.7% |
| RETAIL | 3 | 2.2% | 3 | -1 | 2 | 5 | 4.0% |
| TOTAL | 139 | 100.0% | 38 | -53 | -15 | 124 | 100.0% |
RLB CRANE INDEX®
PREVIOUS EDITIONS
-
Crane Index
New Zealand Q1 2024 Crane Index
While the overall value of building activity and consents are at (or near) record highs, New ...
Read -
Crane Index
New Zealand Q3 2023 Crane Index
The 20th edition of the RLB Crane Index® highlights a fall of 17 points or 8.5%. This is the ...
Read -
Crane Index
Record number of long term cranes for…
According to today’s release of the Q1 2023 RLB Crane Index®, a record 157 long-term cranes were ...
Read -
Crane Index
Residential sector continues to power the NZ…
Following the Omicron outbreak and peak earlier in 2022, construction has continued at pace, even in...
Read