Edmonton Industrial Market Posts 696K-SF of Positive Absorption
Edmonton’s industrial real estate market has posted its 14th consecutive quarter of positive absorption, says a new Avison Young report.
A total of 695,000 square feet was positively absorbed in the fourth quarter of 2023.
“Despite a year of economic uncertainty, new development activity shows no sign of slowing,” says Avison Young in the report.
The Alberta capital region’s total industrial vacancy rate rose 20 basis points quarter-over-quarter to 4.7%. Within Edmonton proper, industrial vacancy inched up 10 basis points to 4.4%.
Meanwhile, 1,157,000 square feet of new industrial supply, with 200,000 sf preleased, entered the market. A new 481,000 sf Hopewell distribution warehouse, at Border Business Park in the submarket of Nisku, Alta., accounted for almost half of the new supply.
The South/Southeast and Nisku/Leduc submarkets recorded most of the positive absorption, 493,000 sf and 381,000 sf respectively.
The Northwest saw 162,000 sf of negative absorption largely due to a new 298,000-sf vacancy and about 500,000 sf of sublet space.
Monte Stewart serves as Content Director - Canada for Connect Commercial Real Estate.
Based in Vancouver, British Columbia, Monte provides daily news coverage of major Canadian commercial real estate markets, including Vancouver, Toronto, Montreal and Calgary. He has written about the real estate sector for various media outlets and Avison Young since the early 2000s.
In addition, he has covered sports, general news and business for several leading wire services and publications, including The Canadian Press, The Associated Press, The Calgary Herald, The Globe and Mail, Research Money, The Daily Oil Bulletin, Natural Gas World and The Toronto Star.
Monte is active in his community as a youth basketball coach and raises funds for such charitable causes as Movember.