No new downtown office towers for at least five years, say experts
Despite the number of construction projects currently on the go, it is unlikely Calgary’s downtown office market will see any new towers for quite some time.
Todd Throndson, managing director and principal for Avison Young in Calgary, says the millions of square feet of recently created new space, three new towers coming on line and a soaring vacancy rate will sideline any plans for more towers.
He says it will take several years – at least five – before the existing vacancy will be absorbed and a landlord will be prepared to take on the risk of constructing a new tower. Today, Calgary’s vacancy rate is about 25 per cent.