The Future Of Calgary's Business Retail Property

The Future Of Calgary's Business Retail Property

There are many different types of commercial retail areas, such as offices in high-rise buildings, locations at malls, and spaces in industrial parks. However, there is a different kind of workspace in Calgary that offers a novel perspective on what a work setting ought to resemble.

Although it differs from the downtown workplace, this workspace doesn't quite fit in the kind of strip mall that is frequently found in the suburbs. It's a place that blends the advantages of a suburban setting with the exquisite architecture of high-rise buildings.
Access to each front door on the ground level

Almost all businesses can profit from having front door access on the main floor. Customers value convenience above all else, so they value ease of access to a company. This is particularly accurate for:

High-traffic places of commerce, like clinics that treat people who might be ill or have mobility issues

Early childhood educational institutions where parents send off their young children

A front point of entry also means less contact throughout the building, which we value more than ever during a global pandemic.

This is especially important in fitness or dance studios where people come and go frequently.

Breweries and distilleries benefit from main floor access because it eliminates the need to transport inventory and equipment up an elevator for company owners and employees. Whether it faces the street, the parking lot, or the sidewalk, your company is also visible.

Advanced and Adaptable Floor Designs

The Wedge at Royal Vista was specifically created to house clinics, dance and fitness classes, dining establishments, and wellness businesses, to name a few. Floorplans may show:

  • Offices with private rooms for patients seeking medical, dental, or wellness care
  • A large, airy classroom for yoga, dance, and other forms of exercise.
  • Intelligent office layouts that support the collaborative work atmosphere of today

The Royal Oak Shopping Complex is nearby

Being close to key establishments is crucial for working parents, busy business owners, and young professionals not just for convenience but also because this factor actually improves our quality of life.

Industrial real estate is boosted by e-commerce.

E-commerce expansion is causing a rise in the demand for industrial space, such as warehouses and distribution centres, to store, sort, and transport goods to customers who place online orders.

In addition to overwhelmingly supporting store curbside pickup, which has almost doubled compared to pre-coronavirus levels, Canadians have also accepted "buy online, pickup in-store," which has increased by almost 50%, he claims. This is because of social isolation and lockdowns.

Major shift is coming to offices

"What we are observing is that the disruption caused by the pandemic has sped up research into how the office integrates into the larger ecosystem of the workplace. Its goal is being rethought, not abandoned, according to Toronto-based Scott.

For the fourth quarter of 2020, the overall vacancy rate for workplaces was 12.2%.

The Cushman & Wakefield Many of the Canadian office markets are projected to have a slow 2021, but through 2030, net office demand is predicted to increase by 5 million square metres (53.9 million square feet) in Canada, despite the rise of the work-from-home trend.

Shopping in stores won't be the only form of retail.

In the future, he claims, retail establishments and malls will have "alternative uses," like gyms, indoor dog parks, museums, concert venues, and banquet rooms. For fulfilment, which entails preparing and filling client e-commerce orders, some retail locations will be utilised.

Hotels facing insecurity without customers

According to Chakib Taous, Director of Corporate Financing at BDC, the urban hotel market has collapsed. He notes that due to the pandemic's travel limitations, the occupancy rate in downtown Montreal is only 5% to 10% at most.

Additionally, conferences and business trips are no longer necessary because of remote work.

It will definitely take longer than two years for hotels to recover, according to Taous.

"Some of them run the danger of going bankrupt. Some of them are currently for sale. Some of them are considering rezoning," he claims.

Identifying An Opportunity

Those who own industrial space are in a fortunate situation, on the bright side. Taous asserts that those who offer goods online require space for their inventory.

And there is always chance in a crisis for the ambitious.

"The market is filled with money. You should seize a chance if you see one, he advises.

It will be fascinating and thrilling to see what creative investors and developers can do with outdated office or obsolete industrial stock in many of our cities, as well as the opportunities that present themselves to enhance our urban environments.

Interested in Calgary Real Estate?

Kuldip Singh Parmar
Kuldip Singh Parmar
Associate
Balpreet Tehri
Balpreet Tehri
Associate
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