Most have heard the maxim: “Location, Location, Location”.

Often used in overseas contexts, this saying reflects the importance of proximity to places like city centres, business districts, transportation hubs, easy access to highways, public transport, airports, schools, and other essential services in determining property value. These features typically drive demand and influence prices.

Here in the Cook Islands, we don’t have big cities or urban areas that drive land values up in the same way. Instead, “location” takes on a rich and unique meaning, shaped by a blend of historical events, geographical

features, ancestorial cultural heritage, and most prominently, our largest industry - tourism. This article explores four key factors that influence property values here in the Cook Islands - resorts, Avarua, social infrastructure and our natural resources.

Resorts and Tourism Resorts and tourism significantly influence property values. For instance, the impact on a resort on the local economy and property prices is a key consideration, as it creates jobs, supports local businesses, and makes the surrounding area more attractive for living, working and recreation. This often raises property values as more people are drawn to the area.

While these economic benefits bring growth, they may also present challenges like higher living costs and risk of long-term residents being displaced by rising property prices. It’s crucial to balance these economic benefits with the potential social impacts.

Urban Centers Avarua, our main urban hub, is the main Cook Island’s example of an urban centre where surrounding property prices are significantly influenced by commercial activity, driven largely by tourism and local businesses.

Social infrastructure Properties near schools, places of historic and cultural interest, and our national hospital have experienced similar effects on property prices. The appeals of scenic views and proximity for accessing and working at the hospital outweighs the difficulties posed by building on challenging landscapes.

Natural Resources While there was a time when inland living was preferred, societal changes

have led to a growing interest in coastal and foreshore living, driving up property prices in these areas. Although resorts, urban centres, and social infrastructure influence property prices in specific areas, the natural geography of our islands generally ensures a consistent pattern across the island. It’s important to approach these trends with an understanding of their environmental and cultural implications.

Making Informed Decisions

Jeff Tikitau Elite Management provides expert insights and personalized support to expertly guide you through the property market. From precise property appraisals to understanding the vital interplay of property values, we empower landowners, leaseholders, and the community to make informed decisions that maximise investments and preserve cultural heritage. Contact the team for tailored advice to achieve your property goals today.