Paul Martin’s Business Update – February 10th, 2015
Another commercial real estate broker has added an optimistic voice to the outlook for the property market in Saskatchewan’s capital city.
Avison Young is an international commercial realty operation and operates a single Saskatchewan branch in Regina. The company has just released its 2015 forecast saying the provincial economy remains strong while real estate has settled on a plateau.
It says a $1 billion multi-year downtown renewal initiative, which includes the new stadium and some major office development, along with a planned $1.2 billion by-pass project and $250 million in public investments including university expansion and a waste water treatment plant will support long-term investment levels.
The office vacancy rate is expected to rise as absorption is slowing while new construction is coming on stream. Square footage in the retail sector will continue to increase, particularly in Harbor Landing as it has taken over from Regina’s east end as the primary retail corridor with leasing costs running $10 to $15 a square foot higher.
And the industrial component remains active as construction continues on the north, east and west sides of the city.