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Calgary Industrial Insight - Q4 2016

Net absorption, of a negative 82,480 square feet for the quarter was relatively neutral for market standards. The quarterly climb in vacancy that the market has witnessed over the past two years is beginning to slow down, increasing by only three basis points since Q3; a decrease from the 110 basis points increase seen at this time a year ago. Statistics aside, the market showed renewed interest and activity in Q4 indicating the early stages of recovery. Manufacturing space that has been vacant for an extended period of time has had increased tour activity and transactions are beginning to occur in this type of inventory. Manufacturing facilitates have been actively toured in the last few months concluding in some recent condition deals.

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