Vancouver Industrial Investment Forecast
Key Role Within the Nation’s Supply Chain Aids North America’s Tightest Market
E-commerce boom increases activity at the Port of Vancouver. Volume is rising at the Port of Vancouver as Canadian consumers utilize e-commerce, with online spending up more than 30 per cent from 2019. The GVA’s location makes this trend especially impactful for industrial performance, as the metro serves as a point of first contact for many goods traveling by boat from Asia. This is facilitating a rapid decline in availability for a market that already claimed one of the lowest vacancy rates on the continent. Vacancy entered 2022 at a historic low, with availability for distribution centers and spaces larger than 50,000 square feet a rarity. This has forced tenants who seek larger footprints to browse new developments, resulting in very strong pre-leasing. This will prevent new supply from keeping pace with skyrocketing demand, moving availability even lower in 2022. This strong performance has happened despite the key field of automobile production lagging. The port can be expected to see even higher activity once these headwinds subside, further boosting tenant demand in the years to come.