(Source: Calgary Herald)
Despite the Bank of Canada’s most recent economic forecast that the current recession is over, diminished transaction volume in the country’s commercial real estate sector remains a key indicator that Canada is not yet on the road to recovery.
According to a Mid-Year National Investment Report released today by CB Richard Ellis Limited, Canadian commercial real estate transaction volumes from January through June shrunk by 51 per cent, year-over-year, from $10 billion halfway through 2008 to $4.9 billion halfway into 2009. Mid-year through 2009, the number of commercial transactions was 1,569, down from 2,542 transactions completed half way through 2008.
In Calgary, investment dropped to $471 million for the first six months of this year compared with $2.2 billion for the same period a year ago. The number of deals in Calgary fell from 281 in 2008 to 149 this year.
Read Mario Toneguzzi’s full article “Commercial real estate activity remains down: CBRE” in the Calgary Herald (August 17, 2009).
“Commercial real estate woes continue” (Toronto Star, August 17 2009).