At the end of Q1 2023, vacancy in the overall Edmonton Market remained high at 20.14%, a 2.7% increase from the end of Q4 2022. The activity was concentrated in a few specific locations, including Stantec Tower in the downtown core and Commerce South Office Park on the south side. “Flight to quality” continued to be a trend across the market, with the best-in-class assets leasing and the lower quality (or yet-to-be-upgraded) properties seeing little activity. Businesses continued to right size with an emphasis on providing high quality workspace and amenities to entice staff back to the office.
We are now seeing a shift to more businesses strongly encouraging their staff to return to the office, recognizing the value of in-person collaboration and work.