Calgary Downtown Office Figures Q1 2025

–       Chevron’s exit from the Canadian market is now complete, causing a significant amount of negative net absorption this quarter. Their former headquarters, Chevron Plaza, is now available for sale and may be viewed as a potential residential conversion candidate.

–       Mergers and acquisitions in the energy sector continue to add vacancy to the market, and the recently announced merger between Whitecap Resources and Veren is likely to result in additional space coming to the market after the deal officially closes in Q2 2025.

–       OPEC+’s oil supply increase, and the impacts of global tariffs, have caused a significant drop in oil prices recently. This poses a threat to future occupancy levels as the majority of the downtown tenant base is made up of energy and energy-adjacent tenants.

–       The HAT at Eau Claire Place (formerly Eau Claire Place I) has completed its conversion from office to residential use. This marks the second project completed as part of the Downtown Calgary Development Incentive Program. Several other projects from the program are anticipated to be completed in 2025.