The pulse of real estate professionals in Regina is starting to quicken. Finally.
Brokers, appraisers and property managers believe tenant demand is going to increase for all office asset types except Class C over the next 12 months.
“We’re seeing a shift in general attitude,” said Craig Hennigar, Vancouver-based director of market intelligence at Colliers International.
Regina’s market has been in a funk for the past several years as commodity prices have floundered on international markets.
The report also found a shift in future expectations for net effective rents, which are showing a neutral forecast, and it’s believed cap rates will likely move higher for all assets and submarkets.
“The general view is things are on the upswing and there will be a pick-up in rents and tenant demand in the next year,” Hennigar said.
The sentiment for manufacturing space has improved with the potential for both increasing rents and tenant demand, while there also appears to be growing demand for flex, service and warehouse/distribution properties.
“The attitude has changed from the glass is half-empty to half-full in the Regina market. A lot of our professionals are working on deals that nobody will hear about for nine months. They’re on the leading edge,” he said.