Vancouver Office Figures Q1 2025

–       The Metro Vancouver office market witnessed a decline in vacancy in Q1 2025, dropping to 10.7% overall. Suburban vacancy remained steady at 10.8%, while the Downtown core experienced a quarter-over-quarter decline of 80 bps, falling to 10.7%.

–       Q1 2025 marks the first time since Q2 2021 that Downtown core vacancy rate is lower than Suburban vacancy, indicating that demand may start to catch up with new supply. Downtown’s vacancy decline was largely driven by an 80 bps decrease in Class AAA & A space, the lowest vacancy rate for this class since Q3 2022. With minimal new supply on the horizon, demand is expected to continue to apply downward pressure on prime assets.

–       Following eight consecutive quarters of rising vacancy in the Suburban markets, Q1 2025 finally saw stability. The increase in vacancy in 2024 was driven by the delivery of 800,611 sq. ft. of new supply, however, with no new supply delivered in Q1 2025 the vacancy rate held constant at 10.8%. Suburban inventory under construction amounts to 553,408 sq. ft. and is 53.7% pre-committed, which will help mitigate the impact of new supply on vacancy going forward.