Bexley was substantially damaged in the February 2011 earthquake, with approximately 90% of homes in the area needing to be demolished, mostly due to the effects of liquefaction, and placed in a residential red zone.

[4] In the earthquake of September 2010 over 100 houses in the suburb were rendered uninhabitable by silt and subsidence due to soil liquefaction.

[6][7] In June 2011, the government announced that for a number of areas in Christchurch "There is significant and extensive area wide land damage; The success of engineering solutions may be uncertain in terms of design, its success and possible commencement, given the ongoing seismic activity; and, Any repair would be disruptive and protracted for landowners."

As a result, the government offered to purchase the properties owned in this and similar areas for their pre-quake rateable value.

Bexley and other affected areas have been classified as part of Christchurch's residential red zone.