Calgary Commercial Real Estate Market Accelerated in 2012

The Greater Calgary real estate market accelerated its recovery from 2009, rising by 81 per cent in terms of overall investment dollar volume in 2012 from the previous year, says a report by RealNet Canada.

The real estate data services company said there were 445 transactions over $1 million during the year totalling $4.84 billion.

RealNet said every commercial real estate sector, with the exception of hotels, saw year-over-year increases.

The office market gained by 45 per cent to $1.6 billion followed by residential land with a huge 349 per cent hike to $770.7 million and retail which grew by 61 per cent to $724.3 million.

Other sectors with their dollar volume and percentage change from the year before were: industrial, $611.4 million, 36 per cent; apartment, $468.4 million, 254 per cent; industrial land, $564.7 million, 108 per cent.

The hotel sector dropped by one per cent to $83.7 million.

The investment market peaked in 2007 with sales totalling just over $5 billion.

As global demand for natural resources continues to increase, Calgary is expected to be further transformed into an international market, according to a 2012 report by CBRE Limited.

Recently, Calgary’s commercial real estate market was listed as the best one in Canada for total annual return on investment.

A report by the Real Property Association of Canada and Investment Property Databank Canada said Calgary had a return of 19.0 per cent in 2012 followed by Edmonton at 17.5 per cent and Winnipeg at 16.8 per cent. Total return for Canada was 14.1 per cent.

No comments

Post Your Comment:

Data is supplied by Pillar 9™ MLS® System. Pillar 9™ is the owner of the copyright in its MLS®System. Data is deemed reliable but is not guaranteed accurate by Pillar 9™.
The trademarks MLS®, Multiple Listing Service® and the associated logos are owned by The Canadian Real Estate Association (CREA) and identify the quality of services provided by real estate professionals who are members of CREA. Used under license.