A market poised for steady returns
The real estate industry has been cautiously assessing the recent economic impacts on the purpose-built market.
Edmonton, the target city for ProCura’s multi-family construction projects, has released two reports (June, 2020) which show continued resiliency in the rental industry.
Market Highlights from Edmonton Census Metropolitan Area (2020)
Despite a tighter vacancy level, Edmonton saw greater rental supply in both purpose-built and condominium rental markets. Growing rental demand is also present in the investor-owned condominium rental market.
- Rental markets tightened as demand outpaced supply;
- Apartment rent growth slowed and condominium rent decreased;
- Growth in migration, reduced turnover, continued demand growth;
- Rental demand continues to outpace supply.
Highlights from Urban Analytics (2Q, 2020)
Versus last quarter, continued resiliency of the rental sector, as average occupancy rates increased. As regulations begin to ease in the city and people can return to more normalized economic and social standards, UA anticipates the rental market will continue its positive absorption momentum into the second half of the year.
- The rental market will continue its positive absorption momentum;
- 85% of rentals are leased within their first year of a leasing campaign, with remaining buildings fully absorbed and experiencing typical levels of turnover;
- Increase in rents as economic and social activities improve.
“It’s certainly got the economic health and diversity”
Jennifer Hunt, VP Research – REIN
Lifestyle makes it an attractive investment
Edmonton, nestled in the heart of western Canada’s prairie, 1.4 million people call Alberta’s capital city home. With 52 weeks worth of festivals and events, top-notch cuisine, and the largest urban park in all of North America, Edmonton has much to offer.
- The provincial government headquarters in Edmonton;
- The centre for post-secondary education and health care;
- Edmonton has many different drivers of job growth;
- It is building its presence as a tech hub.