If downtown Edmonton has felt a little empty to you, you aren’t imagining it. Our cities downtown office vacancy rate is actually one of the highest in Canada.
A new report by CBRE shows Edmonton in fourth place when it comes to downtown vacancy, with Calgary leading the pack followed by the Waterloo Region and London.
The national average is 15.7%, with Vancouver leading the pack in the lowest downtown office vacancy rate.
Many projects have been placed on hold as a result of COVID and the current leasing landscape, with minimal activity in Edmonton.
“Tenant inducement packages being offered by landlords in both the Financial and Government submarkets have begun to uncouple from vacancy dynamics and become building specific,” the CBRE states.
“Landlords of high vacancy buildings are struggling to keep tenant inducements competitive against increasing construction costs.”
Edmonton’s overall office vacancy rate — downtown and suburban, combined — in the fourth quarter of 2021 was 21.6%.