Calgary Multifamily Market Report

Rising demand counters near-term economic headwinds. Last year was an outstanding period for multifamily performance metrics. The metro’s vacancy rate plummeted 240 basis points, while the average rent jumped 9.2 per cent from the prior year. Elevated oil prices led the region’s economic recovery, which was exemplified by a 5.7 per cent gain in total employment and a net inflow of over 42,000 residents from both abroad and other regions within Canada. Resurgence in the local economy boosted apartment demand, which far outpaced inventory growth. In 2023, Calgary will not be immune to the ongoing economic headwinds observed nationwide; however, the metro’s multifamily sector will likely see another year of positive performance. Fueled by heightened demand from a further increase in the number of new settlers as a result of the federal government’s updated immigration plan, a strong appetite for apartments will continue to suppress vacancy to lower levels.