Vacancy rate hits new heights
Posted Aug 9, 2016 10:07 pm.
This article is more than 5 years old.
Calgary’s vacancy rate is skyrocketing to new heights.
A new report from Cresa shows the city now sit at 21.6 per cent and they’re attributing it all to commodities and the floundering price of oil.
To put it in perspective, 21.6 per cent is just shy of where Detroit sat seven years ago, it later would declare bankruptcy.
Cresa real estate agent Adam Hayes says even if oil immediately recovers, it’s going to take the downtown some time.
“There’s a significant lag between the front-line and when companies actually end up spending captial and hiring more employees when that results in demand for office space so generally that lag is 12 to 18 months,” said Hayes.
Calgary now has a new record for the amount of space returned in a single year.
They expect it could reach 24 to 25 per cent by the end of 2015.
