Commercial property in British Columbia is still a hot commodity. Paul Richter with RealNet Canada, the firm that compiled the sales data, noted that there is a definite confidence in that market. The first quarter of 2012 saw 24 sales of $10 million or more. That beat the 2009 record by three sales. The hot commercial sales are a contrast to the slow down in residential sales on the British Columbia lower mainland.
The first quarter of 2012 was also the fifth straight quarter with sales that exceeded $1 billion. Richter noted this shows the market is at its peak, with numbers equal to those seen in 2008. Low mortgage interest rates and the need for prime office space are two factors fueling this sales bonanza.
The sales seem to be heating up elsewhere in the country. A recent survey by Realpac on real estate across Canada noted that the sector was seeing healthy growth, with positive consumer confidence helping that growth. There were hints of a slight leveling out towards the latter part of the year.
The domestic commercial sector earned an index reading of 63 for the second quarter, a bit higher than the 61 score seen for the first quarter of 2012. It is lower than the 71 seen during the second quarter of 2011. The highest possible score is 100.