Vancouver, BC – May 30, 2016.
The BCREA Commercial Leading Indicator (CLI) increased for the fifth consecutive quarter, rising 0.5 index points from the fourth quarter of 2016 to the first quarter of 2017. The index now sits at 128.0, a 4 per cent increase from a year ago and a 0.4 per cent gain on a quarterly basis.
“The rising CLI mirrors the overall robust trend in the provincial economy," says BCREA Economist Brendon Ogmundson. "The commercial real estate sector stands to benefit from BC's strong economic growth through increased demand for commercial space and the attraction of invesment dollars."
The underlying CLI trend, which smooths often noisy economic data, continues to push higher due to ongoing strength in economic activity, particularly from the retail and wholesale trade sectors.
That uptrend signals further growth in investment, leasing and other commercial real estate activity over the next two to four quarters.
Copyright British Columbia Real Estate Association. Reprinted with permission.