Data points to signs of improvement in lower-tier office space

Calgary is showing improvement in B and C-class office vacancies, with a notable reduction from 31.4% to 25.4% year-over-year. The city implemented conversion and demolition incentives to revitalize its downtown market, resulting in nearly 133,000 square feet of positive net absorption. Other cities like Edmonton, Saskatoon, and Regina also reported declines in vacancies. In contrast, Winnipeg, Victoria, and Vancouver experienced slight increases in lower-tier space vacancies. Vancouver's actual vacancy rate is estimated at 12.9% due to unadvertised "shadow space."