Tenant's Guide

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Ottawa - Second Quarter 2017

Tenant's Perspective

  • Downtown vacancy in Class B&C buildings is allowing users seeking more creative work space the chance to relocate to a more central location
  • Many sub-markets are beginning to see a rise in occupancy. A driving factor leading to this surge is the soon to be completed LRT system
  • The Fringe Core continues to be a good option for small businesses looking to be in closer proximity to the downtown core and it's amenities
Office vacancy rates in the Greater Ottawa area have shown marginal change from Q1 2017 to Q2 2017. In the downtown core, the Federal Government continues to be active and are targeting several Class A buildings. Recently, the Public Services and Procurement Canada signed a 10-year lease to rent more than 37,000SF of space over two floors at 150 Slater Street. In Kanata, the market continues to be busy as many big pockets of space such as Techinsights & Flextronics have come back to market. Innovapost, Mitel & March Networks are a few companies that can now be added to the list of large tenants in Kanata who are looking for more space. A notable deal in Kanata is the upcoming move of You.i TV this fall into 40,000SF with the option to add another 20,000SF if needed at 307 Legget Drive.

Rental and Vacancy Rates

$ per SF     Vacancy Rate   Margin from Q1
Basic Rental Rate  
$17.38  
  Greater Ottawa - Overall
5.6% 
  1.0%
$22.51  
  Greater Ottawa - Class A
11.6% 
  4.2%
$16.89  
  Greater Ottawa - Class B
5.9% 
  0.7%
 
 
$19.73  
  Downtown Core - Overall
6.5% 
  0.7%
$25.15  
  Downtown Core - Class A
6.5% 
  0.5%
$19.22  
  Downtown Core - Class B
5.6% 
  0.3%
 
 
$15.23  
  Gatineau - Overall
2.1% 
  0.1%
$25.15  
  Gatineau - Class A
12.1% 
  1.1%
$14.25  
  Gatineau - Class B
2.4% 
  0.2%
 
 
$15.99  
  Suburban East -Overall
7.6% 
  1.2%
$16.81  
  Suburban East - Class A
39.2% 
  20.9%
$16.56  
  Suburban East - Class B
10% 
  0.4%
 
 
$15.20  
  Suburban West - Overall
5.8% 
  0.8%
$17.47  
  Suburban West - Class A
13.3% 
  4.8%
$15.85  
  Suburban West - Class B
9.5% 
  1.0%

Market Trends