RLB Crane Index® Q4 – 2016 6TH EDITION New Zealand The 6th edition of the RLB Crane Index® reflects the strong growth in building work put in place within New Zealand over the past year. With work put in place growth at 13% over the past year to 30th June 2016, the RLB Crane Index® shows a 19% growth in the total number of cranes in New Zealand. Residential projects represent 37% of all cranes seen across the country, with 28% of all cranes on commercial projects. The overall New Zealand RLB Crane Index® is currently 165, up from 138 at Q2 2016. Since we commenced the RLB Crane Index® at Q2 2014, the Index has risen 65 points or 65%. Queenstown has the biggest increase of 600%, albeit from a small base, followed by Auckland (156%), Wellington (83%) and Christchurch (14%). The Index for both Hamilton and Tauranga has fallen 33% and 50% respectively since the commencement of the RLB Crane Index®. Auckland continues to be the crane hotspot in the country with 64 cranes, 55% of all cranes observed in the country. The current RLB Crane Index® showcases a 36% increase in the number of cranes within the Auckland region since our last count in Q2 2016. 23 cranes have been put in place on new projects with 6 removed from projects nearing completion. Twenty cranes have been removed from sites in Christchurch since our last RLB Crane Index®. The removal of these cranes from commercial, education, retail and civic projects signify the approaching completion of important projects associated with the Canterbury rebuild. Offsetting the removal of 20 cranes from 15 sites within Christchurch, was 15 new cranes put in place on 10 sites. Q4 2016 RLB CRANE INDEX® SUMMARY Cities Key Sectors AUCKLAND Commercial Civic CHRISTCHURCH Residential Recreation DUNEDIN Health Hotel HAMILTON Education Civil QUEENSTOWN Retail Other TAURANGA LEGEND WELLINGTON Increase in number of cranes Decrease in number of cranes Crane numbers steady CRANE ACTIVITY - NEW ZEALAND opening count Q2 2016 % movement closing count + Net Q4 2016 % AUCKLAND 47 48.0% 23 -6 17 64 54.7% CHRISTCHURCH 30 30.6% 15 -20 -5 25 21.4% DUNEDIN 1 1.0% 0 -1 -1 0 0.0% HAMILTON 5 5.1% 5 -4 1 6 5.1% QUEENSTOWN 4 4.1% 5 -2 3 7 6.0% TAURANGA 2 2.0% 2 0 2 4 3.4% WELLINGTON Total 9 9.2% 7 -5 2 11 9.4% 98 100.0% 57 -38 19 117 100.0% CRANE ACTIVITY - NEW ZEALAND BY SECTOR opening count Q2 2016 % movement closing count + Net Q4 2016 % Commercial 31 31.6% 19 -17 2 33 28.2% Residential 34 34.7% 16 -7 9 43 36.8% Health 2 2.0% 4 -2 2 4 3.4% Education 8 8.2% 4 -3 1 9 7.7% Retail 5 5.1% 2 -3 -1 4 3.4% Civic 9 9.2% 0 -3 -3 6 5.1% Recreation 1 1.0% 0 -1 -1 0 0.0% Hotel 1 1.0% 2 0 2 3 2.6% Civil 6 6.1% 8 -2 6 12 10.3% Other 1 1.0% 2 0 2 3 2.6% Total 98 100.0% 57 -38 19 117 100.0% 1 RLB CRANE Index® COMPARATIVE DATA INDEX: 3rd Edition Q2 2014 = 100 6TH EDITION 1st EDITION Q2 2014 2nd EDITION Q4 2014 3rd EDITION Q2 2015 4TH EDITION Q4 2015 5TH EDITION Q2 2016 Q4 2016 Auckland 100 Christchurch 100 104 116 132 188 256 36% 141 105 141 136 114 -17% % INDEX MOVEMENT - 100 100 100 100 - -100% Hamilton 100 78 22 22 56 67 20% Queenstown 100 400 500 300 400 700 75% Tauranga 100 13 38 - 25 50 100% Wellington 100 100 150 150 150 183 22% Total 100 107 101 111 138 165 19% Dunedin NEW ZEALAND - BUILDING WORK PUT IN PLACE YEAR ENDING JUNE - SOURCE: STATS NZ 20.0 18.0 16.0 BILLIONS 14.0 12.0 10.0 8.0 6.0 4.0 2.0 Queenstown has almost doubled the numbers of cranes since the last RLB Crane Index®. Seven cranes can now be seen in the region around Queenstown across 6 sites. Both the Commercial and Civil sectors have each had cranes erected on new projects. Two commercial cranes have commenced on sites at Beach Street and Five Mile Stage 2 and 2 cranes have commenced works at Kawarau Bridge within the civil sector. Wellington’s cranes have increased to a total of 11, up from 9. Five cranes have been removed from sites and 7 new cranes have been put in place. The commercial sector has 8 cranes in place, 73% of all Wellington’s cranes. Hamilton saw a gain of one crane to 6 cranes with the commencement of the Laminex site in Te Rapa. Tauranga increased to 4 cranes with 2 cranes remaining on sites in Cameron Road and the Bay of Plenty Polytechnic, Windermere Campus and 2 cranes put in place at the Maungatapu Tunnel underpass. 0.0 2012 2013 ALL BUILDINGS 2014 2015 RESIDENTIAL BUILDINGS 2016 NON-RESIDENTIAL BUILDINGS RLB Crane Index® Base = Q2 2014 = 100 300 250 200 150 100 50 0 1ST EDITION 2ND EDITION 3RD EDITION 4TH EDITION 5TH EDITION 6TH EDITION AUCKLAND CHRISTCHURCH DUNEDIN HAMILTON TAURANGA WELLINGTON QUEENSTOWN TOTAL 2 RLB Crane Index® Q4 – 2016 6TH EDITION AUCKLAND The RLB Crane Index® reflects Auckland’s strong growth in building work put in place. Auckland’s index has risen from 100 in Q2 2014 (1st edition) to 256 currently. The current RLB Crane Index® showcases a 36% increase in the number of cranes within the Auckland region since our last count in Q2 2016. 23 cranes have been erected on new projects with 6 removed from projects nearing completion. KEY SECTOR STATUS OVERALL STATUS Commercial Residential Education Retail The residential sector continues to soar with a net increase of 9 cranes after 3 were removed and 12 new cranes Civic LEGEND commencing on new projects. Projects where cranes were Increase Decrease Crane in number numbers in number of cranes steady of cranes removed include The Fiore, Stonefields Verto and the student Hotel residential project at Symonds Street and Grafton Bridge. Civil New cranes have been observed on projects at Anzac Avenue, the Wynyard Quarter, Whitaker Place, Campbell Other Road in Onehunga, New North Road in Eden Terrace, Howe St in Ponsonby, on the corner of Central Road and New North Road in Kingsland, and in Rosedale. An addition crane was installed on the Alexander Park development. Auckland’s CRANE ACTIVITY – AUCKLAND residential sector cranes account for 59% of all cranes in opening count movement closing count Auckland and 35% nationally. + Net Q4 2016 Q2 2016 % % Within education, 3 cranes were added at Unitec, Auckland University and Kings School. These complemented the 2 cranes at Auckland University of Technology. The retail sector added a crane at the new Bunnings on Gt. North Road, The civil sector saw the addition of 2 new cranes during the period. The value of building work put in place for Auckland has seen continuing growth since 2012. Since 2012 Auckland has seen nearly an 80% rise in total work put in place with residential increasing 106% and non-residential work up by 48%. Commercial 4 8.5% 4 0 4 8 12.5% Residential 29 61.7% 12 -3 9 38 59.4% Health 0 0.0% 0 0 0 0 0.0% Education 3 6.4% 3 -1 2 5 7.8% Retail 0 0.0% 1 0 1 1 1.6% Civic 3 6.4% 0 0 0 3 4.7% Recreation 0 0.0% 0 0 0 0 0.0% Hotel 1 2.1% 0 0 0 1 1.6% Civil 6 12.8% 2 -2 0 6 9.4% Other 1 2.1% 1 0 1 2 3.1% Total 47 100.0% 23 -6 17 64 100.0% AUCKLAND - BUILDING WORK PUT IN PLACE YEAR ENDING JUNE - SOURCE: STATS NZ 7.0 6.0 5.0 BILLIONS The commercial sector saw the addition of 4 cranes with 4 cranes continuing on projects bringing the total count within the sector to 8 cranes. Commencements saw cranes put in place at Commercial Bay, Gt. North Road, Smales Farm and Gt. South Road in Greenlane. Continuing projects include both Datacom and Building 5A at the Wynyard Quarter. 4.0 3.0 2.0 1.0 0.0 2012 ALL BUILDINGS 2013 2014 RESIDENTIAL BUILDINGS 2015 2016 NON-RESIDENTIAL BUILDINGS 3 RLB Crane Index® Q4 – 2016 6TH EDITION CHRISTCHURCH Twenty cranes have been removed from sites in Christchurch since our last RLB Crane Index®. Their removal from commercial, education, retail and civic projects signify the approaching completion of important projects associated with the Canterbury rebuild. Offsetting the removal of these 20 cranes from 15 sites, was the installation of 15 new cranes on 10 sites within Christchurch. The commercial sector saw the largest movement in cranes with a net decrease of nine cranes, 14 removals and 5 new installations. With the addition of 1 crane at Grand Central in Cashel Street, the site now has 2 cranes. New cranes were seen at the Hereford Street Carpark, High St and Manchester St developments. Cranes were removed from Tuam St, Cashel Square, Lichfield St, High Street, The Old Council Building, Leeds St, The Salvation Army in Gracefields, Peterborough St, Armagh St, Riverland House, and the Canterbury Chamber of Commerce. Within the health and residential sectors, three new cranes have been installed at each of the new Acute Services Building at the Christchurch Hospital and the Atlas Quarter in Welles St. Within the educational sector, one crane was removed from the Ara Institute and one new crane at Otautahi House in St Asaph Street. The civic sector saw two cranes removed from the Justice and Emergency Services precinct, leaving two cranes on site and one crane remaining on the Arts Centre project. KEY SECTOR STATUS OVERALL STATUS Commercial Residential Health Education Retail LEGEND Increase in number of cranes Civic Decrease in number of cranes Crane numbers steady Hotel Civil CRANE ACTIVITY – CHRISTCHURCH opening count Q2 2016 % 18 Commercial 60.0% movement closing count + Net Q4 2016 % 5 -14 -9 9 36.0% Residential 0 0.0% 3 0 3 3 12.0% Health 0 0.0% 3 0 3 3 12.0% Education 2 6.7% 1 -1 0 2 8.0% Retail 5 16.7% 1 -3 -2 3 12.0% Civic 5 16.7% 0 -2 -2 3 12.0% Recreation 0 0.0% 0 0 0 0 0.0% Hotel 0 0.0% 1 0 1 1 4.0% Civil 0 0.0% 1 0 1 1 4.0% The Crossing development in Cashel St has 2 cranes currently on site, down from 5 at the last RLB Crane Index, leaving the retail sector with 3 cranes, the other crane was installed at 112 Cashel St. Other 0 0.0% 0 0 0 0 0.0% Total 30 100.0% 15 -20 -5 25 100.0% Within the hotel sector, a crane was recently installed on the Forsyth Barr building in Colombo St. Canterbury - BUILDING WORK PUT IN PLACE YEAR ENDING JUNE - SOURCE: STATS NZ While the Canterbury rebuild is still well underway, total work put in place was up 4.6% for the 12 months ending 30th June 2016, residential work was down 3.6% and nonresidential work was up 19.4% across Canterbury. 5.0 4.5 4.0 BILLIONS 3.5 3.0 2.5 2.0 1.5 1.0 0.5 0.0 2012 ALL BUILDINGS 2013 2014 RESIDENTIAL BUILDINGS 2015 2016 NON-RESIDENTIAL BUILDINGS 4 RLB Crane Index® Q4 – 2016 6TH EDITION DUNEDIN Dunedin’s only crane has been removed, leaving the skyline free of cranes. This is the first time since the March 2014 count we have not been able to observe any cranes in Dunedin. The University of Otago’s Dental School tower crane is to be created in January 2017. KEY SECTOR STATUS OVERALL STATUS Residential LEGEND Increase in number of cranes Decrease in number of cranes Crane numbers steady CRANE ACTIVITY – DUNEDIN opening count Q2 2016 % movement closing count + Net Q4 2016 % Commercial 0 0.0% 0 0 0 0 0 Residential 1 100.0% 0 -1 -1 0 0 Health 0 0.0% 0 0 0 0 0 Education 0 0.0% 0 0 0 0 0 Retail 0 0.0% 0 0 0 0 0 Civic 0 0.0% 0 0 0 0 0 Recreation 0 0.0% 0 0 0 0 0 Hotel 0 0.0% 0 0 0 0 0 Civil 0 0.0% 0 0 0 0 0 Other 0 0.0% 0 0 0 0 0 Total 1 100.0% 0 -1 -1 0 0.0% 5 RLB Crane Index® Q4 – 2016 6TH EDITION HAMILTON Six cranes can now be seen in Hamilton. The Q3 2016 RLB Crane Index® reflects a net addition of 1 crane within Hamilton. The commercial sector saw 2 new cranes put in place at the Laminex site in Te Rapa together with an additional crane added to the development at Porters, also in Te Rapa. A crane was removed from LDS site in Tukaramea Rd at Temple View. KEY SECTOR STATUS OVERALL STATUS Commercial Health Civic LEGEND One crane was removed from the Department of Corrections project in London Street leaving no civic cranes in Hamilton. The health sector saw 2 cranes removed from the BUPA site at Delamere Road, and a new crane commencing at the Hilda Ross Hospital. The health sector has now 1 crane in Hamilton. Increase in number of cranes Decrease in number of cranes Crane numbers steady CRANE ACTIVITY – HAMILTON opening count Q2 2016 % movement closing count + Net Q4 2016 % Commercial 2 40.0% 3 -1 2 4 A new crane was put in place at the Ruakura Bridge site in Ruakura within the civil sector. Residential 0 0.0% 0 0 0 0 0.0% Health 2 40.0% 1 -2 -1 1 33.3% Work put in place for the Waikato region showed a 22% increases for the twelve months to 30th June 2016 and a 35% increase for residential and 2% for non-residential. Education 0 0.0% 0 0 0 0 0.0% Retail 0 0.0% 0 0 0 0 0.0% Civic 1 20.0% 0 -1 -1 0 0.0% Recreation 0 0.0% 0 0 0 0 0.0% Hotel 0 0.0% 0 0 0 0 0.0% Civil 0 0.0% 1 0 1 1 0.0% Other 0 0.0% 0 0 0 0 0.0% Total 5 100.0% 5 -4 1 6 100.0% 66.7% waikato - BUILDING WORK PUT IN PLACE YEAR ENDING JUNE - SOURCE: STATS NZ 1.8 1.6 1.4 BILLIONS 1.2 1.0 0.8 0.6 0.4 0.2 0.0 2012 ALL BUILDINGS 2013 2014 RESIDENTIAL BUILDINGS 2015 2016 NON-RESIDENTIAL BUILDINGS 6 RLB Crane Index® Q4 – 2016 6TH EDITION QUEENSTOWN The hotel sector saw the installation of a crane for the redevelopment works at Rydges Lakeland Hotel on the Esplanade. One crane remains in the residential sector at Lake Hayes Apartments. The value of work put in place for the South Island (excluding Canterbury) has increased each year since 2012. For the year ending 30th June 2016, residential work put in place has risen 53% from 2012 values and non-residential work 24%. KEY SECTOR STATUS OVERALL STATUS Commercial Residential Recreation Hotel Civil LEGEND Increase in number of cranes Decrease in number of cranes Crane numbers steady CRANE ACTIVITY – QUEENSTOWN opening count Q2 2016 % movement closing count + Net Q4 2016 % Commercial 1 25.0% 2 0 2 3 42.9% Residential 2 50.0% 0 -1 -1 1 14.3% Health 0 0.0% 0 0 0 0 0.0% Education 0 0.0% 0 0 0 0 0.0% Retail 0 0.0% 0 0 0 0 0.0% Civic 0 0.0% 0 0 0 0 0.0% Recreation 1 25.0% 0 -1 -1 0 0.0% Hotel 0 0.0% 1 0 1 1 14.3% Civil 0 0.0% 2 0 2 2 28.6% Other 0 0.0% 0 0 0 0 0.0% Total 4 100.0% 5 -2 3 7 100.0% south island (excl. canterbury) - BUILDING WORK PUT IN PLACE YEAR ENDING JUNE - SOURCE: STATS NZ 2.0 1.5 BILLIONS Queenstown has almost doubled the numbers of cranes since the last RLB Crane Index®. Seven cranes can now be seen in the region around Queenstown across 6 sites. Both the commercial and civil sectors have seen 2 cranes erected on new projects. Two commercial cranes have been put in place on sites at Beach Street and at the second stage of Five Mile and 2 cranes have commenced works at Kawarau Bridge within the civil sector. 1.0 0.5 0.0 2012 ALL BUILDINGS 2013 2014 RESIDENTIAL BUILDINGS 2015 2016 NON-RESIDENTIAL BUILDINGS 7 RLB Crane Index® Q4 – 2016 6TH EDITION TAURANGA Tauranga has seen an uplift in cranes with an additional 2 cranes put in place at the Maungatapu Tunnel underpass on State Highway 29a with 2 cranes remaining on sites at Cameron Road and the Bay of Plenty Polytechnic, Windermere Campus. KEY SECTOR STATUS OVERALL STATUS Commercial Education Civil The value of building work put in place highlights the growth within the regional areas of the North Island since 2012. Since 2012, building work has grown 51%, highlighted by the strength of the residential sector going at 74% over the past 4 years. LEGEND Increase in number of cranes Decrease in number of cranes Crane numbers steady CRANE ACTIVITY – TAURANGA opening count Q2 2016 % movement closing count + Net Q4 2016 % Commercial 1 50.0% 0 0 0 1 25.0% Residential 0 0.0% 0 0 0 0 0.0% Health 0 0.0% 0 0 0 0 0.0% Education 1 50.0% 0 0 0 1 25.0% Retail 0 0.0% 0 0 0 0 0.0% Civic 0 0.0% 0 0 0 0 0.0% Recreation 0 0.0% 0 0 0 0 0.0% Hotel 0 0.0% 0 0 0 0 0.0% Civil 0 0.0% 2 0 2 2 50.0% Other 0 0.0% 0 0 0 0 0.0% Total 2 100.0% 2 0 2 4 100.0% north island (EXCL. AUCKLAND, WAIKATO, AND WELLINGTON) - BUILDING WORK PUT IN PLACE YEAR ENDING JUNE - SOURCE: STATS NZ 3.0 2.5 BILLIONS 2.0 1.5 1.0 0.5 0.0 2012 ALL BUILDINGS 2013 2014 RESIDENTIAL BUILDINGS 2015 2016 NON-RESIDENTIAL BUILDINGS 8 RLB Crane Index® Q4 – 2016 6TH EDITION WELLINGTON Five commercial cranes were put in place at developments at Cuba & Dixon St, Waterloo Quay and High St & Waterloo Rd corner, Lower Hutt, Taranaki Street and one at the Wellington airport carpark building. Two cranes have been removed from the Ministry of Health building. Projects with cranes continuing include commercial projects at The Terrace, Jervois Quay and at the Press House refurbishment. The commercial sector has 8 cranes in place, 73% of all Wellington’s cranes. Within the residential sector, cranes were added to the development at the Victoria & Ghuznee corner, with 2 cranes removed from apartment developments in Victoria Street and Taranaki Street. The education sector saw 1 crane removed from the Victoria University Science Block leaving one crane remaining on site. A crane has been put in place at the National Centre for Biosecurity and Infectious Disease for their new National Biocontainment Laboratory in Ward St, Upper Hutt. Building work put in place for Wellington has seen an 18% increase from 2012. This is well under the whole of New Zealand growth of 81% over the same period. KEY SECTOR STATUS OVERALL STATUS Commercial Residential Education Other LEGEND Increase in number of cranes Decrease in number of cranes Crane numbers steady CRANE ACTIVITY – WELLINGTON opening count Q2 2016 % movement closing count + Net Q4 2016 % Commercial 5 55.6% 5 -2 3 8 72.7% Residential 2 22.2% 1 -2 -1 1 9.1% Health 0 0.0% 0 0 0 0 0.0% Education 2 22.2% 0 -1 -1 1 9.1% Retail 0 0.0% 0 0 0 0 0.0% Civic 0 0.0% 0 0 0 0 0.0% Recreation 0 0.0% 0 0 0 0 0.0% Hotel 0 0.0% 0 0 0 0 0.0% Civil 0 0.0% 0 0 0 0 0.0% Other 0 0.0% 1 0 1 1 9.1% Total 9 100.0% 7 -5 2 11 100.0% WELLINGTON - BUILDING WORK PUT IN PLACE YEAR ENDING JUNE - SOURCE: STATS NZ 1.4 1.2 1.0 BILLIONS Wellington’s cranes have increased since the last RLB Crane Index®. Total cranes now number 11, up from 9. Five cranes have been removed from sites and 7 new cranes have been put in place. 0.8 0.6 0.4 0.2 0.0 2012 ALL BUILDINGS 2013 2014 RESIDENTIAL BUILDINGS 2015 2016 NON-RESIDENTIAL BUILDINGS 9 About the RLB Crane Index® The RLB Crane Index® is published by Rider Levett Bucknall biannually in Australia, New Zealand, USA, Gulf States and Southern Africa. The New Zealand RLB Crane Index® tracks the numbers of cranes in the key cities within New Zealand. The RLB Crane Index® gives a simplified measure of the current state of the construction industry’s workload in each of these locations. Each RLB office physically counts all fixed cranes on each city’s skyline twice yearly which provides the base information for the index. This information is then applied to a base date (1st edition Q2 2014), which enables the RLB Crane Index® to be calculated highlighting the relative movement of crane data over time for each city. The indexing of RLB Crane Index® data commenced in Q2 2014, when it was determined that the data collection and reporting methodology was mature and consistent between all offices. Crane counts for that release were indexed to 100 in each city. Subsequent movements in crane numbers were applied to the base RLB Crane Index® to highlight the crane movements in each city over time based on the relative count in Q2 2014. Using the RLB Crane Index® table data makes for quick comparisons in determining city by city crane activity. For example, when comparing Auckland cranes for the base period of Q2 2014, against the count in Q3 2016, the following formula can be used to determine the percentage increase (or decrease). Percentage change = Crane IndexCP – Crane Indexpp Crane Indexpp x 100 where Crane Indexcp is the RLB Crane Index® for the current period and Crane Indexpp is the RLB Crane Index® for the previous period. HEATMAPS The RLB Crane Index® hotspot maps offer a pictorial representation of the collected data for each city using a heatmap indicator to indicate the level of crane activity. The size of hotspot is relative to the scale of the map and is not an indication of the crane count in that position. The heatmap uses blue to indicate a lower crane activity, and the brighter red insert to indicate higher crane activity. The location of the hotspots are indicative only and have been positioned to convey the general spread of cranes within a city. The levels of intensity are calculated on a map by map basis and should not be compared between different cities. CONTACT DETAILS For further comments, please contact: Contact: Chris Haines Director Contact: John Cross Oceania Research & Development Manager Email: Tel: Email: Tel: chris.haines@nz.rlb.com (09) 309 1074 john.cross@au.rlb.com (03) 9690 6111 RLB.com 10