Vacancy Rates Dropping in Calgary Industrial Real Estate Market

Jun 12, 2011 by

 

Colliers International Historical Vacancy Graph

Now that most of the reports are out from the major brokerage companies we wanted to summarize where the rates appear to be heading. From all indications both from an activity standpoint and a statistical point we are seeing declines in Calgary Industrial vacancy rates.  Where did we start the year?   During January 2011 many of the larger firms were reporting vacancy rates for year end 2010 in the 5.5 to 6% range.   With a shimmer of business confidence we started to see some dropping of these rates at the end of the first quarter of 2011 into the low 5% range (Colliers reporting its 1st Quarter Numbers showed Industrial Inventory of 122, 546, 375 square feet with a 5.23% vacancy rate.   Now here we are approaching the end of the 2nd quarter of 2011 we are seeing the business confidence continue, most likely due to a strengthing of commodity prices and announcements of major spending programs by major oil and gas producers.  As a result there are reports of vacanies approaching 3.6% (CBRE reporting its 2nd quarter review).  After some extensive reworking of our inventory database we at Advent Commercial are now in a position to report vacancy.  As of May 30th, 2011 we are reporting preliminary numbers of 4.10% vacant on 119,622,844 square feet of inventory.  Please contact me directly for a copy of our review.