Edmonton Multifamily Investment Forecast
Growing Tech Sector Augments Traditional Energy and Trade Economy in Edmonton
Class A vacancy to decrease as labour market diversifies. The Edmonton metro has long been a hub for logistics, due to its centralized location, air, rail and roadway infrastructure, as well as its standing as a major energy producer for western Canada. These jobs support healthy demand for Class B/C rentals. More recently, the economy is transforming into a research and technology hotbed. New employment opportunities in these higher-income sectors will help boost demand for upper-tier rentals near the urban core, where a live-work-play environment is desired by many young professionals. This trend was leading to a reduction in Class A vacancy, but COVID-19 disrupted momentum over the past two years. Rising foot traffic and firms returning to in-person work has occurred at faster rates than other major Canadian metros, which should lead to a strong recovery as young professionals return to urban lifestyles. New supply concentrated in the core may impact Class A fundamentals in the short term, but the long-term outlook for GEA rentals is bright.