Vancouver Commercial Stats – Q3 2016
Residential Development Opportunities Continue to Drive Vancouver Commercial Real Estate Investment
685 sales transactions over $1 million were recorded in Q3 2016, for a total investment value of $2.8 billion.
VANCOUVER ‒ Altus Group, a leading provider of commercial real estate services, software and data solutions, today announced results for the third quarter of 2016 for commercial real estate investment in the Vancouver market area. A total of $2.8 billion worth of asset sale transactions took place in Q3 2016, a 26% decrease from the previous quarter but up 38% from a year earlier.
Although both deal velocity and dollar volumes were down from the records set in Q2 2016, it was still the second highest quarter yet recorded by Altus Group, slightly surpassing Q1 2016.
The land sectors, ICI and Residential Land, combined make up 65% of all investment in the third quarter. The Residential Land market alone contributed $1.26 billion, or 45%, towards the total quarterly investment volume of $2.8 billion.
Residential Land and long term residential development sites occupied seven of the top ten transactions, with five of those transactions taking place on the downtown peninsula.
“While transactions of improved assets remain relatively healthy across each sector, the land markets continue to be the key market driver,” noted Paul Richter, Director, Altus Data Solutions Canada, Altus Group “The Residential Land market in particular is now into its fourth quarter of exceptional performance, driven by immediate and long term redevelopment opportunities in high profile neighbourhoods.”
These results were previously released under the REALNET® Canada name, whose independent and comprehensive data, analyses and insights on the commercial real estate investment and residential development markets is collected and compiled using a nationally consistent research process established in 1995. Going forward they will be released by Altus Group, powered by a proprietary data platform led by Altus Data Solutions Canada. This team is the formal unification of leading Canadian real estate data companies previously acquired by Altus Group, including REALNET® Canada.