Winnipeg office market strongest in 30 years: New developments are bolstering an already busy office market
September 12, 2017
A new report suggests that Winnipeg is seeing the strongest downtown office market in decades.
“It is a very optimistic and active time, more so than at any time over the last 30 years in Winnipeg,” Winnipeg-based Wayne Sato, a Cushman & Wakefield broker and office leasing and sales vice-president, told the Real Estate News Exchange.
Cushman & Wakefield forecasts Winnipeg’s current 4.3 per cent office vacancy rate will rise to the 7 per cent range by 2019, but this still places it among the lowest office vacancy rates in Canada.
Sato pointed out there was no significant new construction of Class A office space in Winnipeg for about 25 years before 80,000 square feet was added with Centrepoint in 2015. “Once the market is introduced to that, more and more tenants started saying ‘That’s what we need.’”
While $19 per square foot net was the former high-water mark for Winnipeg office rents, Centrepoint pushed the figure to $25.