Vancouver Industrial Market Report

Economic makeup provides some insulation from tariff risks. With the Trump administration rapidly changing trade policy, business and consumer confidence has deteriorated, making a slowdown in global economic growth likely. Even so, Vancouver’s service-based economy and its location on the Pacific Ocean, allowing access to Asian countries, could help mitigate the impact on the local labour market and overall consumption activity. Amid an expensive housing market and Vancouver’s higher cost of living, lower interest rates will also provide some relief to highly indebted households and local businesses. Nevertheless, the net impact will likely be that it takes a leasing improvement to fully materialize. Combined with still-elevated supply growth, vacancy could rise further, while also putting downwards pressure on the average asking rent.