Page 15 - BOMA Manitoba 2021 Commercial Building Directory

Economic realities and expectations

...our growth of the future determine whether
business is growing, shrinking or
in 2019 still flat; whether a company is hiring or
downsizing; and whether they are
outweighs entering into new enticing markets,
or not. This shapes business strategy
our declines and future employment. Overall

in 2020 to business outlook and employment,
derivatives of the broader economic
the end of picture, will shape the future of the
office market to a greater extent than
october. the work-from-home phenomenon in
subsequent workplace strategies or
demands of top talent.

Manitoba’s GDP grew year-over-year
provide guidance on where the from 2015 to 2020 and our office
market may be going in the future. market moved in lockstep. The
Sublease markets exploded in many Conference Board of Canada predicts
markets across Canada as a result of Manitoba GDP will have declined by
the pandemic. Toronto, Ottawa and 6.2% in 2020 compared to a greater
Montreal saw a doubling in the amount
of sublease space come available over decline of 6.6% nationally. Similarly,
the summer. Overall, the country’s Winnipeg’s office market appears to
sublease availability grew 33% over be holding up better than average
the summer but Winnipeg’s grew by in 2020. However, our rebound
less than half that amount. is anticipated to be substantially
weaker at 3.5% growth compared to
The impacts of work-from-home the national average of 5.6%. The
dominate the mainstream discussion impact of the pandemic on Winnipeg’s
on the future of office markets. office market will be determined by
However, what fuels growth in an what we as a community do today to
office market, or holds it back, is the influence the expectations for, and
market’s local economy. Economic confidence in, our market’s health and
expectations of the market, an industry performance in the future. Then, we
or a business form the foundation can sort out who still wishes to work
of hiring and office requirements. from home.

1421 St. James Street, Unit 17|Winnipeg, MB|R3H 0Y9|Phone: +1(204) 774-2020|1-866-421-1670

Manitoba 2020 Commerical Building Directory 15