The Waterloo Industrial market has now hit a historic low vacancy rate with reaching an all time low of 1.3% with no signs of demand slowing in the Region.
- Industrial supply has not been able to keep up to the high demand, leading to an imbalance. This is pushing lease rates and sales prices up. Sales prices have risen 58% year over year.
- Average Asking Lease rates are continuing to increase but are being held in check by sub-lease space, which now makes up 23% of all vacant space in the region.
- Construction projects in the Cambridge and Kitchener sub-markets are set to increase the Region’s overall supply by over 2 million square feet, which should help answer the imbalance between supply and demand. However this space will be for large users, over 100,00 square feet and likely command asking rates over $10.00 per square foot.
