Scoring Canadian Tech Talent<\/em> report for 2020, Vancouver received an exceptional score of 72.8 because, among other reasons, the average annual expense of renting 75,000 sq ft for is $3,484,500, which ranks third highest in Canada after Ottawa and Toronto, respectively. Moreover, the city has the lowest average wages for 211 employees in the field at $12,014,400, and accounting for 39 management-level workers, Vancouver has by far the lowest average wages at $3,772,080.<\/p>\n\u201cIn particular, Toronto, Vancouver, Montreal and Edmonton provide the best value in North America when it comes to cost and quality,” said the report. “All are within several percentage points of coming in at half the cost of operating in the San Francisco Bay Area.”<\/p>\n
Kiselbach added that the city\u2019s overall commercial real estate sector has also benefited from shutdowns in core American markets, some of which relocated film production to Vancouver and catalyzed spinoff activity in the industry like post-production editing.<\/p>\n
\u201cThe office vacancy rate is mid-6%,\u201d said Kiselbach. \u201cDowntown is lower than that at 5.6%, and that increased throughout last year, but having said that, we\u2019re still the lowest vacancy for downtown offices in Canada, and either the lowest or one of lowest in North America.\u201d<\/p>\n
Indeed, the COVID-19 pandemic has resulted in rising office vacancies and subleases throughout the world\u2019s major downtown submarkets, but Kiselbach says it\u2019s instructive to dig deeper.<\/p>\n
\u201cWhen we look at the data, subleased office space is occurring in smaller spaces, like sub-500 sq ft,\u201d he said. \u201cNone of the medium or larger sized spaces are up for sublease, and to me that indicates that, when it\u2019s appropriate, [companies] will encourage their employees to come back to work in the office.\u201d<\/p>\n
As an asset class, investor demand for offices is still robust, signifying that institutional investors and high-net-worth individuals believe in the sector\u2019s market fundamentals. But make no mistake, the pandemic has certainly shaken those fundamentals, at least somewhat.<\/p>\n
\u201cOur mood at CBRE is still one that\u2019s positive,\u201d said Kiselbach. \u201cI looked at that vacancy rate go up last year and now it\u2019s an opportunity for smart money to be in the market during Q1 and Q2 of this year while the fundamentals are off a bit. Occupier decisions that were delayed through the year are coming up against their renewal dates.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"
Vancouver\u2019s office vacancy rate remains among North America\u2019s lowest, and according to a CBRE report, the city\u2019s thriving tech sector is a strong reason. \u201cOn the office side of things, tech has definitely been one of our strongest growth segments over the past handful of years,\u201d Vancouver-based Jason Kiselbach, Vice president and marketing director of […]<\/p>\n","protected":false},"author":6,"featured_media":23146,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[4],"tags":[],"acf":[],"_links":{"self":[{"href":"https:\/\/www.canadianrealestatemagazine.ca\/wp-json\/wp\/v2\/posts\/8956"}],"collection":[{"href":"https:\/\/www.canadianrealestatemagazine.ca\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.canadianrealestatemagazine.ca\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.canadianrealestatemagazine.ca\/wp-json\/wp\/v2\/users\/6"}],"replies":[{"embeddable":true,"href":"https:\/\/www.canadianrealestatemagazine.ca\/wp-json\/wp\/v2\/comments?post=8956"}],"version-history":[{"count":1,"href":"https:\/\/www.canadianrealestatemagazine.ca\/wp-json\/wp\/v2\/posts\/8956\/revisions"}],"predecessor-version":[{"id":23145,"href":"https:\/\/www.canadianrealestatemagazine.ca\/wp-json\/wp\/v2\/posts\/8956\/revisions\/23145"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.canadianrealestatemagazine.ca\/wp-json\/wp\/v2\/media\/23146"}],"wp:attachment":[{"href":"https:\/\/www.canadianrealestatemagazine.ca\/wp-json\/wp\/v2\/media?parent=8956"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.canadianrealestatemagazine.ca\/wp-json\/wp\/v2\/categories?post=8956"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.canadianrealestatemagazine.ca\/wp-json\/wp\/v2\/tags?post=8956"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}