TORONTO – Commercial real estate market of Canada set other record in 2017 for investments and was one of the 4 countries in the world, as per new report from CBRE Ltd.
According to this report, there were over $43.1 billion of investments in last year, that surpassed $34.7 billion in year 2016, and CBRE also predicts other record which will be established in year 2018.
CBRE said that a very strong tenant demand got coupled with decline in vacancy rates which are all-time lows in Canadian real estate markets and will lead to increases in rental rates.
Paul Morassutti, Executive Managing Director at CBRE Canada said on Tuesday that investors are not shying from
Canadian commercial real estate.
Paul also said that they have increasing institutional allocation to real estate, record low unemployment, record low
vacancy rates and supportive immigration which fuels up growth of population. You can know that How To Buy and Sell Commercial Real Estate in Canada.
CBRE said that the commercial real estate market faces some risk in year 2018 which including the fate of the North American Free Trade Agreement and rising interest rates, but it is believed to be an underlying strength in real estate market will outweigh all of these concerns.
As per company’s statement, Vancouver and Toronto began in 2018 with lowest downtown vacancies in offices in North America at 5.0% and 3.7% respectively and predicts that those rates will get fallen lower in this year due to lack of new office supply and growing tenant demand.
CBRE said that growth in demand is spreading to the other cities, with downtown vacancy rate in offices which also slated to fall in Halifax, Montreal, Ottawa, Waterloo Region, Ontario, London. You can also know that What You Need to Know Before Buying or Selling a Home in Canada.
After surging for last two years, CBRE predicts that vacancy rates will stabilize finally in Calgary as recovery in Alberta start up to take hold.
Morassutti said that in 2018, Canada will once find itself at centre of 2 powerful investment trends.