It was another positive year for industrial activity in the Thompson Okanagan, with just over 439,000 square feet of inventory absorbed throughout Kelowna and Vernon. With limited industrial supply, few investment opportunities and a lack of development land on the market, industrial users have been quick to secure prime industrial space as it becomes available.
- The vacancy rates in Kelowna and Vernon are both currently below 2%, a notable shift from just two years ago when they sat at 3.4% and 3.2%, respectively.
- Since the first half of 2018, five new speculative industrial buildings were delivered in Kelowna; over 91% of the 80,030 square feet added was pre-leased prior to completion.
- The Vernon market delivered its first new industrial building since Q2 2017 with Okanagan Spirits completing its 16,720 square-foot storage facility on Waddington Drive.