Oil Prices Bringing New Activity to the Commercial Real Estate Market

With all the volatility of oil prices over the past 2 years, it’s encouraging to see some recent stability.  We have written extensively about Edmonton’s commercial real estate market hinging on the price of oil and we still feel the topic will dominate the headlines for 2017. OPEC agreed to cut production in December with[…]

Industrial Building Permits Plunge 48.2%

While there are reasons to be optimistic about Alberta’s economic recovery, certain statistics suggest we’re still deep in the recession. For example, industrial building permits in December were down an astonishing 48.2% year-over-year.  While industrial was the hardest hit, all other sectors saw dramatic declines with residential down 31.2%, commercial down 21.5%, and institutional down 17.4%.  As per the chart below, December[…]

Net Rent, Gross Rent & Net Effective Rent

Question: What’s the difference between Net Rent, Gross Rent and Net Effective Rent (NER)? Answer: It’s important to view the terminology in context of the entire document (which is generally an Offer to Lease or a Formal Lease / Standard Lease). In the Greater Edmonton market, the term Net Rent generally implies that the tenant[…]

Trends to Watch in 2017

We’ve noticed a general pickup in activity to start 2017, particularly in the Nisku / Leduc and Acheson industrial areas. With oil prices stabilizing over $50 for the past 6 weeks, businesses that have previously held off on making decisions are back in the market. There has been a lot of pressure in the Nisku[…]