In April, Colliers Real Estate Management Services (REMS) initiated a national assessment of the tenants in our managed portfolio to support our clients in their efforts to work through the challenges resulting from COVID-19.
We continued our assessment in May, surveying our 7,100 office, retail and industrial tenants across 66 million square feet of commercial real estate in Canada. The resulting report offers an insight into the previous month and a look ahead, examining rent relief duration, rent collection status, and the types of tenants submitting rent relief requests.
- Of those who requested relief, 17% were able to negotiate relief agreements as of our May 21, 2020 data; of that number, 94% were granted deferrals.
- The most prominent relief duration was three months, with 46% of tenants being granted this length of relief.
- Retail tenants are most likely to have come to an agreement on rent deferrals, followed by industrial and then office.
- Out of those asking for relief in April, almost half did not make any payments for May, 36% paid their rent in full and 16% made partial payments.
- We anticipate it will take 1.5 months after the average provincial reopening date before collections start to increase.
Download the full report here to learn more.