The Calgary industrial market continued to see an influx of activity as we transitioned from a resilient final quarter of 2020 into one that saw some of the strongest leasing and sales that has been experienced in recent years.
- One of the most notable trends that has been evident is the emergence of the film industry and the significant focus on Calgary and the surrounding area as a film and television production hub.
- Absorption this quarter almost equivalated to the total amount of absorption that was experienced in 2020. This significant positive absorption, combined with pent-up demand in the large-bay segment, and compression in Canada’s other core markets, has driven vacancy down 82 basis points to 5.35% from 6.17%.
- The lack of new supply and speculative development currently under construction within the city limits, alongside the shortage of development ready land opportunities, will force users to continue to look for space in Balzac or the 84th Street corridor.