Calgary's industrial market shows signs of turning the corner

While Calgary's downtown office sector and its plunging vacancy rates overshadowed all commercial real estate activity in 2016, the city's industrial market has better weathered the storm and is poised to grow in 2017, say experts.

According to Barclay Street Real Estate, vacancy for the industrial real estate sector finished 2016 at 7.76 per cent. It had peaked at 7.8 per cent in the third quarter of the year. In 2015, it was 6.57 per cent.

"Absorption was a negative 127,373 square feet for Q3. This was the only quarter of negative absorption we have had since the '90s," said Jon Mook, executive vice-president of Barclay Street Real Estate's industrial division.

Real estate officials expect conditions to support turnaround in downtrodden commercial market

Calgary's commercial real estate market is showing signs it is finally moving on from tough economic conditions that sent vacancy rates soaring and rents plummeting over the past two years, say officials.

''There is a sense in the market that the worst is behind us and that conditions will gradually improve," said Joe Binfet, managing director/broker of Colliers International in Calgary.

Real estate veteran to take reins of member organization

The New Year will welcome a new president for CREB® and its 5,200-plus members as local real estate veteran David P. Brown takes the reins during what's expected to be a year of transition for the industry.

CREB®Now caught up with Brown to talk about everything from his financial background to what advice he has for prospective homebuyers.

Housing experts predict Calgary's rental market to see another year of high vacancies, low rents

Calgary's rental housing market this year will not change much from 2016 as historically high vacancy rates will continue to usher in incentives and lower rents, say experts.

"We expect the vacancy rate to remain close to 2016 levels" said Richard Cho, Calgary-based principal market analyst for Canada Mortgage and Housing Corp. (CMHC).

Surrounding housing market to follow Calgary's lead in 2017 after challenging conditions in 2016

Slow stabilization in Calgary's housing market in 2017 is expected to create similar momentum for satellite communities such as Okotoks, Cochrane, Airdrie and Chestermere, say local officials on the heels of CREB® releasing its 2017 Economic Outlook & Regional Housing Market Forecast.

According to the report, Chestermere in Rocky View region experienced a widening gap between sales and new listings during 2016, putting downward pressure on benchmark prices – notably detached homes, which dropped 2.5 per cent from 2015 to $490,808.

Housing officials expect new builds to post slight rebound in late 2017

"Turbulent." That's how the head of Calgary's homebuilders and developers group describes the new housing market in 2016.

And 2017?

"Recovery," said Allan Klassen, chair of the recently merged Canadian Home Builders' Association—Urban Development Institute Calgary (CHBA-UDI Calgary).

Homebuilders hope recommendations to lower duties will lead to lower cost for industry, consumers

Recent recommendations by a federal trade tribunal have the homebuilding industry hopeful that high duties on U.S. drywall imports will soon come to an end.

The Canadian International Trade Tribunal issued its Statement of Reasons Jan. 19 outlining why it found drywall duties on U.S. imports are negatively impacting Western Canada's housing industry. Yet it also found U.S. manufacturers were indeed dumping drywall into the Canadian market, an unfair advantage over domestic manufacturers.

Inner-city communities offering residents plenty to get excited about

From the historic streets of Inglewood to the shopping district along 17th Avenue, Calgary's inner city represents an eclectic and ever-changing mix of stories, style and substance. After all, these are areas where 100-year-old brick buildings seamlessly interchange with high-rise construction cranes.

Yet for those who live in Calgary`s inner city, it isn't just their surroundings and amenities that make it special. It's the people.

"Sure we have our night markets, Christmas celebrations and kitschy shops, but what makes Ramsay and Inglewood an exceptional place to live are the people," said local resident Natalia Jezierska.

Calgary housing market to see increased stability, signs of change in 2017: CREB®

The worst might be over for Calgary's housing market, according to CREB®, which is forecasting transitional conditions throughout this year on the back of renewed optimism in the oil patch.

The forecast, captured in the real estate organization's 2017 Economic Outlook and Regional Housing Market Forecast report, comes after more than two years of recessionary conditions that have been manifested by sales and price declines in virtually every corner of the local market.

Economic conditions create ideal situation for renters, challenges for landlords

In the most volatile economy in the country, it is no big surprise Calgary landlords endured 2016 with the highest rental housing vacancy rate in a quarter of a century.

"It is a free market economy, with all the ups and downs, and in the middle of (this downturn), you just hope many will survive it," said Gerry Baxter, executive director of the Calgary Residential Rental Association (CRRA) of Calgary's current seven per cent vacancy rate.