- Robust tenant demand and a shortage of available inventory continued to impact the Metro Vancouver office leasing market.
- Downtown office vacancy dropped to a decade low 2.7% in Q1 2019, down from 3.8% in Q4 2018. Pre-leasing commitments should ensure market stability well into the next development cycle.
- Suburban vacancy decreased by 70 basis points (bps) quarter-over-quarter to 6.7% in Q1 2019.
- Metro Vancouver office vacancy dropped to 4.7%, a record low.
• Canada’s GDP increased 0.3% month-over-month and 1.5% year-over-year as of April 2019
• Statistics Canada reported a 2.6% year-over-year increase in BC’s Consumer Price Index in June 2019
• In July 2019, the Bank of Canada left its benchmark interest rate unchanged at 1.75%. In the same month, the central bank lowered the five-year benchmark qualifying rate to 5.19% from 5.34%, easing the stress test on five-year fixed mortgages
• In June 2019, BC’s unemployment rate increased 20 basis points (bps) month-over-month to 4.5%
• In June 2019, the federal government approved the Trans Mountain Pipeline expansion project. The Trans Mountain Corporation will be responsible for securing necessary permits
• In July 2019, Translink’s Mayors’ Council approved the Expo Line’s extension from King George Station to 166 Street in Fleetwood, Surrey