Featured Columns

Is Saskatoon real estate still a good bet?

Kelly MacsymicI’m not much of a gambler, but I’m game to make a few wagers on the immediate future of commercial real estate in Saskatoon.

I still thinking putting money in our market is a safe bet, but there are some important items to consider.

Industrial absorption is on its way up

Industrial construction slowed in 2015 and absorption is on its way back. There seems to be a pattern in this sector with a seesaw of supply vs. demand.

Rates have not dropped dramatically, though landlords with long-term vacancies are now more aggressive with their leasing incentives. I would expect to see more of this throughout the year as vacancy further diminishes.

Office vacancy in for a long haul

The office market has taken a hit between 2015 and the first part of 2016. There may be more vacancy to come, given the current rumblings within the world economy.

The good news is there is not much new construction currently in the ground and there will be good options when office users come back to the market. Tenants in a position to renew could receive attractive terms given the current climate.

Now is the time to lock in those deals, both for the sake of landlords and tenants.

Retail will continue to soar

ICR agents who attended the annual ICSC (International Council of Shopping Centers) conference in Whistler, B.C., in January said national retailers continue to have an interest in Saskatoon.

That said, can we please put the conversation to bed regarding IKEA? We have lots of other great opportunities coming to our city to be excited about so why worry about what isn’t?

Is there a shift in the political wind?

A political change in Saskatchewan would certainly shake things up in commercial real estate. I would place a low wager on a major changing of the guard in Saskatchewan.

I don’t believe Alberta’s “never say never” shift will be a reality in the Land of the Living Skies.

The Saskatchewan Party continues to create good business policy that will positively impact our economy. While they may have stumbled in other areas,  I still strongly believe they are the best option to grow the province.

I welcome any feedback you may have on my upcoming predictions. Where do you think my odds will land?

Read more from: Featured ColumnsThe Saskatchewan Edge

Kelly Macsymic

About the Author ()

I am a gal of all trades and wear a few hats at my current job though nothing quite as esteemed as my 1996 Unity Western Days Rodeo Queen crowned cowboy hat. I spend my time as a sales and leasing agent at ICR Commercial Real Estate (ICR), in addition to my other gig as general sidekick and business manager for Barry Stuart at Stuart Commercial. Inc. I started my journey in the small town of Unity, SK. My grandmother encouraged me to create mock newspapers which I, like any good keener, produced in abundance. My early publication days came to a quick end when I broke the news in one of these homemade papers with word of a surprise birthday party for my grandfather, and proudly presented it to him. Undaunted, I pursued the news bug all the way to Lethbridge College and was gainfully employed for several years in weekly papers in rural Saskatchewan. After a few adventures at the University of Regina and abroad in England, opportunity knocked and I accepted the chance to move to Saskatoon. I landed at Barry’s doorstep and have since been taken under his wing. He’s shown me the ropes at ICR through his most capable hands as one of ICR’s top producers. We are a dynamic team. I relish the challenges (most of the time) he throws at me daily. My other commitments include BPW (Business and Professional Women) Saskatoon in addition to volunteering as president of the Holliston Community Association.

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