Canada’s office vacancy rate in 2nd quarter reached highest level since 1994, CBRE reports

Canada Office vacany. Representational image by Lycs Architecture on unsplash

Toronto/CMEDIA:  A report by the world’s largest commercial real estate services and investment firm Coldwell Banker Richard Ellis (CBRE), says Canada’s office vacancy rate hiked from 17.7 percent in the first quarter to 18.1 percent in the second quarter accounting for its highest level since 1994.

Canada’s downtown office vacancy rate hike was due to hike in the second quarter to 18.9 percent from 18.4 percent in the first quarter.  

The suburban office vacancy rate was up from the first quarter of 16.8 percent  to 17.1 percent in the second quarter.

Canada’s downtown vacancies in the second quarter were higher in all major centres except for Calgary and the Waterloo region, CBRE reported

CBRE added that Canadian office markets are grappling with the threat of a recession due to interest rate hikes, and new supply of office space.