Figures
Waterloo Region Office Figures Q2 2026
Leasing activity drives occupancy gains
July 17, 2026 5 Minute Read
Looking for a PDF of this content?
- Vacancy rates continued to improve across the Waterloo Region office market, declining to 16.8% in Q2 2026 from 17.6% in the previous quarter. Strong leasing activity and positive absorption supported occupancy gains, particularly within Class A and Class B assets, while older office inventory continued to face leasing challenges.
- Sublease availability contracted during the quarter, with sublease vacancy falling from 10.7% to 4.3%. The reduction reflects a substantial decrease in excess office space returning to the market, signaling improving tenant confidence and stronger overall market fundamentals.
- The market recorded 107,000 sq. ft. of positive net absorption in Q2 2026, driven by leasing activity across Kitchener, Waterloo, Cambridge, and Guelph. Demand remained focused on modern, well-located office properties, contributing to a more balanced market environment and greater stability in occupancy levels.