Office vacancy rates are down Moncton and Fredericton, but up in Saint John, according to a new report from Turner Drake, an Atlantic Canadian real estate company.
On average, the rate has dropped to just over 11 per cent in the past year.
Moncton saw the biggest drop, and now has the lowest vacancy rate in all Atlantic Canada at 7.96 per cent. Fredericton is not far behind at 8.04.
Saint John has the highest amount of empty offices, with a vacancy rate of just over 18 per cent. This was a bit of an increase, edging up from 16 per cent last year.
The report says the province’s success is partly due to having the best deals on rental rates in the Maritimes.
On average, the net rents in the three cities are all below $14 per square foot.
Moncton has the lowest rates at $12.84 per square foot, giving them an advantage in filling large office spaces. The report says their Class A office space vacancy plummeted in the past year from around 8.5 per cent down to 3.5 per cent.
Turner Drake says they “outperformed” all other major Atlantic cities in this category, and considers them to have “effective full occupancy.”
Rent crept up slightly in both Saint John and Fredericton. The report suggests this is partially why vacancy decreases were not as large this year.
A full copy of the report can be found online.
