Calgary, Alberta – Canada
Calgary’s commercial real estate investment market once again witnessed significant investment activity in the first half of 2013. Total dollar volume increased by four percent (4%) compared with first half 2012 levels, amounting to almost $2.2 billion. The key driver was land sales, which totaled $902 million. This total represents an increase of 249% compared with first-half 2012 figures. The industrial, retail and multi-residential sectors experienced changes of 125%, -78% and -5%, respectively.
The tremendous pace of office investment sales transactions in the first half of 2012 – which exceeded $1 billion in total dollar volume – was expectedly lower in the first half of 2013, down roughly 40% to $654 million. Early 2012 was a phenomenal break-through period, demonstrating the return of liquidity in the office investment market after a gradual recovery period from the global economic recession. Office investment activity is still strong and should not be viewed as a declining sector.