- What The national availability rate for industrial property dropped during Q1 2025, Altus Group found
- Why Market demand is holding steady despite tariffs creating uncertainty
- What next Tariffs have paralyzed investors who don’t know when the next action will come
Canada’s industrial property sector appears to be holding steady despite the ongoing tariff storm, Altus Group said.
The national availability rate fell by 30 basis points to land at 5.9% in the first quarter of 2025, Altus said in a market report to be released today.
A lack of resolution to the ongoing trade dispute between Canada and the U.S., as well as China – which has imposed strict levies on Canadian seafood and other exports – has paralyzed investors unsure of when the next action will come, and how that could impact their bottom line.
“The challenge we have right now is that there’s hesitation in the market with some of the decisions being made because nobody knows what’s going to happen,” Altus vice president and report co-author Raymond Wong told Green Street News. “You can’t rely on what’s being said because it can change the next day.”
The availability rate for Ottawa was the lowest of major markets, at 4.3%, as demand for industrial space remained high in the capital city. Vancouver experienced a small increase of 50 bps from the previous quarter to land at 6%, due in part to the completion of five new industrial buildings in Q1.
The hyper-competitive Toronto market, meanwhile, saw its availability rate drop to 4.6% compared to 5.2% the previous quarter, despite adding five buildings totaling 1.5m sq ft of new space – the most of any market.
Among all markets mentioned in the report, Halifax saw the biggest swing in availability, jumping by 560 bps year over year to 12.7% due to softening demand for industrial assets and new supply hitting the market unleased.
