Today we spoke with Chris Gosling, the representative of the new $22.5 million Te Auaha New Zealand Institute of Applied Creativity campus currently under development on Dixon Street, Wellington. When speaking to Chris he told us they expect the project to be finished in time for students to begin their studies in March 2018. In their first year they hope to enrol over 700 students, and once they reach their full enrolment in years to come they expect to produce 1000 graduates each year. It’s likely many of these graduates will stay in Wellington and enter the creative industry here, growing the city’s population, and further influencing tenant demand.
This new student role will contribute to the already large student sector in Wellington, with Victoria University having also increased their enrolment to 22,000 students this year, enrolling 543 more students than in 2015. Tenant demand this year reached an all-time high, and despite the summer peak period being over, there is still a significant amount of tenant displacement across Wellington. Next year we believe tenant demand will be even higher, causing higher tenant displacement and rents to increase even higher across Wellington than what we experienced this past summer.