Demand for land helped commercial real estate sales and dollar volume reach five-year highs in the Lower Mainland in 2016, according to data from Commercial Edge, a commercial real estate system operated by the Real Estate Board of Greater Vancouver (REBGV).
There were 2,848 commercial real estate sales in the Lower Mainland in 2016, a 21 per cent increase over the 2,353 sales in 2015.
Commercial real estate sales in 2016 were 29.7 per cent above the region’s five-year sales average.
The total dollar value of commercial real estate sales in the Lower Mainland was $12.990 billion in 2016, a 47.4 per cent increase from the $8.815 billion total in 2015.
“We saw steady activity across the commercial real estate market in 2016,” said Dan Morrison, REBGV president. “It’s no surprise that land sales had the largest increase last year given the supply shortages we’re experiencing in our residential and commercial markets today.”
2016 activity by category
Land: There were a record 1,177 commercial land sales in 2016, which is a 41 per cent increase from the 835 land sales in 2015. The dollar value of last year’s land sales was $7.202 billion, an 81.3 per cent increase over $3.973 billion in 2015.
Office and Retail: There were a record 918 office and retail sales in the Lower Mainland in 2016, which is up 12.8 per cent from the 814 sales in 2015. The dollar value of last year’s office and retail sales was $3.621 billion, a 46.9 per cent increase over $2.466 billion in 2015.
Industrial: There were 612 industrial land sales in the Lower Mainland in 2016, which is up 9.9 per cent over the 557 sales in 2015. The dollar value of last year’s industrial sales was $1.067 billion, a 3.4 per cent increase over $1.032 billion in 2015.
Multi-Family: There were 141 multi-family land sales in the Lower Mainland in 2016, which is down 4.1 per cent over the 147 sales in 2015. The dollar value of last year’s multi-family sales was $1.100 billion, an 18.2 per cent decrease from $1.345 billion in 2015.
Owned and operated by the Real Estate Board of Greater Vancouver (REBGV), the Commercial EDGE system includes all commercial real estate transactions in the Lower Mainland region of BC that have been registered with the Land Title and Survey Authority of British Columbia. Commercial EDGE is updated monthly based on data originating from the BC Assessment Authority. Commercial EDGE does not include share sale transactions as they are not registered with the Land Title and Survey Authority of British Columbia. Please note that historical data may be subject to revision as transaction records are received from the Land Title and Survey Authority of British Columbia.
The REBGV is an association representing over 13,500 residential and commercial REALTORS® and their companies. It provides a variety of member services, including the Multiple Listing Service® and Commercial Edge. For more information on real estate, statistics, and buying or selling a property, contact a local REALTOR® or visit www.rebgv.org.
Real Estate Board of Greater Vancouver
Land includes properties that are holding properties, farmland, garden centres, redevelopment sites, land assembly sites, vineyards, etc.
Office and Retail properties are defined by the zoning according to each municipality and must have a building on the site. This category includes: Office, office condo, retail, retail condo, shopping centre, gas station, car dealerships, banks, community centres, day care, educational facility, institutional, golf courses, movie theatre, hotel, churches, restaurants, truck stops and others.
Industrial properties are also defined by the zoning according to each municipality and must have a building on the site. This includes warehouses, warehouse bays and multi-bay warehouses.
Multi-Family properties include: nursing homes, high rises, low rises, and any condo or townhome properties containing four or more units with at least one zoned for commercial use.