Real Estate Industrial sector to dominate 1987 ACTIVITY IN the industrial sales and leasing sector likely will be the high point of Vancouver’s commercial real estate market in 1987, reports the Royal LePage 1987 Market Survey. According to the survey, the strong build-to-suit ac- tivity which occurred in 1986 will continue throughout 1987, Demand by small users requiring space with a high office component is expected to spur development of speculative multi-tenant in- dustrial facilities. FORCAST ANALYSIS The survey, released today across Canada, is a com- prehensive analysis and forecast of Canada’s resi- dential and commercial real estate markets. Data col- lected for the survey in- dicates that: © a reduction in the supply of prime industrial land in certain areas, caused by the rezoning of industrial land to permit commercial development, is placing strong upward pressure on land prices ; ¢ the high cost of industrial land throughout metropoli- tan Vancouver will increase the potentiel for higher den- sity industrial projects in “It is a rare person who wants to hear what he doesn’t wani to hear. Burnaby and Richmond : ¢ overall absorption is ex- pected to reach 1.6 million sq. ft. in 1987, of which almost | million sq. ft. will be built to suit; © rental rates are forecast to range between $3 - $6.50 sq. ft. net, representing a slight increase over 1986. POSITIVE SITUATION In-depth analysis of Van- couver’s office leasing mar- ket indicates that it is mov- ing into a more positive supply/demand situation, notes F. Peter Maddocks, vice president and general manager of commercial brokerage. “‘We are confident the ci- ty’s office leasing market has moved into a new phase. The three-year building boom that saw over 3 mil- lion sq. ft. of new product added te the downtown in- ventory has come to an end. When some of the glut of space is removed from the market, the inventory will drop as will attractive tenant inducement packages,’’ predicts Maddocks. Further examination of the office leasing market reveals that: * overall absorption will approximate the norm of $149,900 / $159,900 OPPORTUNITY KNOCKS - 2 lots over 20,000 sq.ft. ea. - Build your dream Tudor in the trees - Minutes to Dundarave and the beach - Serviced — ready to build 30TH ST. W. VAN. ercial market 700,000 sq. ft. in 1987, compared with 500,000 sq. ft. in 1986. Because a limited supply of new inventory will be added to the market in 1987, the overall market vacancy rate should decline from 19 per cent at year-end 1986 to approximately 16 per cent at the end of 1987; * quoted rental rates for class A space will remain stable in the range of $15 - $25 per sq. ft. net. HIGH PRICES Broad-based interest in Vancouver's commercial real estate investment product has resulted in high sale prices; this has placed con- siderable downward pressure on yields. Key investment opportunities in 1987 in- clude: © well-established retail fa- cilities. In 1986, the severe shortage of available pro- duct resulted in dramatic in- creases in sale prices. For these reasons, development of retail product will become increasingly attractive in 1987, particularly along the new Skytrain transit line that connects the suburbs of Burnaby and New Westminster with Vancouver $249,000" 3 - Friday, November 14, 1986 - North Shore News ELEGANT & COMFORTABLE OPEN SUN. 1-4 P.M. — §62-26TH CRESCENT Brand new spacious 4 bdrm., family oriented home on large pool sized tot. Super location - walk to schools, shopping & loca! transit. This brand new custom built home is a must see for those who demand quality: * Living room with vaulted ceiling. fireplace. x* Large family oom off kitchen, fireplace. * Solid oak kitchen with spacious nook. + Full height very bright basement with roughed in fireplace, 3 pce. bath, kitchen; separate entrance. * page skylight; shake reof; 2x6" exterior framing with R20 insulation. x Etc., etc. Completion Mid November 1986 662 26th Cres. - Tempe Heights CALL FOR MORE DETAILS: Peter Schaub 526-2888 (24 hrs.) 929-8287 (rzs.-) "$236,300 LOCATION IS THE KEY! ~ Brand new - 3 bdrms, family room - Landscaped - Next to perk & stream OPEN SUN.2-4 1357 JEFFERSON AVE. W.V. SUNRISE...........-. teen eeeees ) SUNSET -Gorgeous semi-waterfront lot, ready to buiid -Prime West Bay location, view forever! 4180-B ROSE CRESCENT $256,000 ~ Quiet street - Great for kids - 4 ddim. family room ~ Ready now $199,000 OPEN SUN. 2-4 1373 JEFFERSON AVE. W.V.