The vacancy rate in Waterloo Region’s industrial market has increased by 60% or 54 basis points (bps) quarter-over-quarter resulting in an overall increase of 124 bps from the beginning of the year.
- The demand for space in the market, however, remains for spaces below 100,000 square feet. This has led developers to demise their upcoming developments down to smaller units to accommodate that demand.
- On the investment side, the demand for buying opportunities is still robust with investment volume rising from $80 million transacted in Q3 2023 to $94 million.
- There were three key developments that were completed and delivered during Q4. This resulted in the highest quarter of new supply over the last five years.