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Auckland Property with Development Potential: A Long-Term Investor’s Dream


Auckland Property with Development Potential: A Long-Term Investor’s Dream


Auckland Property with Development Potential: A Long-Term Investor’s Dream


Auckland’s housing market presents a unique challenge: a growing population constrained by a limited landmass. This has led to a surge in interest in properties with development potential under the Auckland Unitary Plan (AUP). But why should this be a focus for long-term investors?

Unlocking Potential Through Intensification

Auckland’s geography restricts urban sprawl. The AUP addresses this by promoting intensification – building more housing on existing land. This benefits investors by allowing them to explore opportunities like:

  • Subdivision: Depending on the property’s size and zoning, it might be possible to subdivide the land and build multiple dwellings. This creates the potential for increased rental income or capital gains through selling additional sections.

  • Adding Dwellings: The AUP allows for higher density in many areas. This means you could potentially add minor dwellings, granny flats, or convert existing buildings into multiple dwellings, significantly increasing your rental yield.

Capitalising on Auckland’s Growth Trajectory

Auckland’s population is booming, fueled by both natural growth and strong net migration. This creates a sustained demand for housing, making development potential even more valuable. As the city intensifies, properties with additional housing options become even more desirable, potentially leading to higher rents and property values in the long run.

Maximising Returns with Increased Dwellings

Owning a property with development potential allows you to earn rental income from multiple dwellings on a single site. This effectively increases your return on investment without needing to purchase additional properties. With careful planning and adherence to AUP regulations, this strategy can significantly boost your investment’s overall profitability.

Beyond the Numbers: Additional Benefits

While the financial rewards are undeniable, there are additional benefits to consider:

  • Future-Proofing: By investing in a property with development potential, you’re aligning yourself with Auckland’s long-term growth strategy. This ensures your investment remains relevant and adaptable as the city evolves.

  • Community Contribution: By creating additional housing options, you’re contributing to solving Auckland’s housing shortage. This can be a fulfilling aspect of your investment strategy.

Important Considerations

Before diving in, remember:

  • Due Diligence: Thoroughly research the AUP zoning for your desired property. Consult council planners and qualified professionals to understand development feasibility and potential costs.

  • Long-Term Vision: Developing a property can be a complex process. Be prepared for the time commitment and potential hurdles involved in obtaining permits and navigating construction.


For property investors in Auckland, properties with development potential offer a compelling opportunity. By capitalising on Auckland’s growth, the AUP’s intensification provisions, and the potential for increased rental yield, you can position yourself for significant returns in the years to come. 

If you’re eager to unlock your financial potential in Auckland’s property market, whether you’re a first-time buyer or a seasoned investor, Lucia Xiao is here to guide you. Join us for her upcoming workshop to gain insights and knowledge that can help shape your property investment journey. Don’t miss out – CLICK HERE to learn more and take your first steps towards property success!