Page 57 - BOMA Manitoba 2021 Commercial Building Directory

INDUSTRIAL

TREVOR CLAy
Principal, Capital Commercial Real Estate Services Inc.

The Winnipeg industrial Market

continues to Thrive

3 2020 was one of the most increase continues to be driven by newly distribution centre on 38 acres of
active quarters in the history constructed spaces being introduced land in St. Boniface Industrial Park
Qof the Winnipeg market. While to the market at ever-increasing rents. Phase 2 while Amazon announced
vacancy rates remained relatively stable While demand remains strong, the its first fulfillment centre deal in the
at 4.8%, the market saw net absorption volume of new product in the market Winnipeg market, leasing 113,000
of 674,000 square feet, primarily will serve to maintain a steady balance square feet in Northwest Winnipeg.
driven by a few large transactions in terms of market vacancy.
announced in the quarter. We expect QuadReal successfully leased
close to 1 million square feet of new vacancy in the Northwest submarket its first speculative building of
space will be delivered to the market in continues to be the highest at 7.9% 175,000 square feet at Northwest
2020 with 593,000 square feet having while we have started to see an Business Park to two tenants before
been delivered in Q3 alone. increase in the Southwest which now substantial completion and has
sits at 4.0%. Both of these areas are elected to proceed to build a second
Vacancy rates dropped from 5.1% seeing the most significant competition building of the same size as a result.
to 4.8% in the third quarter and net in terms of new product to the market.
asking rental rates increased by an Mckesson’s new building of 120,000
additional $0.25 per square foot to FedEx Ground took possession of square feet is also under construction
$9.26 per square foot per annum. This its brand new 250,000 square foot within Northwest Business Park.

Manitoba 2020 Commerical Building Directory 57