Q3 2023 Ottawa Office Market Report
The Q3 2023 Ottawa Office Market Insight Report indicates a challenging landscape with a 11.4% vacancy rate and decreased building attendance. However, tenants can benefit from a steady net rent of $17.22 per square foot and enticing incentives offered by landlords. Investors are adapting by diversifying portfolios, converting office properties into residential rentals. Notable transactions include Katasa Groupe's $57 million purchase of 66 Slater Street and InterRent REIT's acquisition of 360 Laurier Avenue West for $17.5 million. The occupier's perspective suggests considering early lease renewals, exploring fringe-core submarkets for better value, and negotiating flexible lease structures. Submarket movements reveal variations, with Fringe-core standing out with lower vacancy rates at 5.8%. Overall, businesses are urged to leverage the tenant-favorable market dynamics and strategic real estate partnerships to navigate the evolving Ottawa office landscape.