Vancouver, BC – December 5, 2016.
The BCREA Commercial Leading Indicator (CLI) increased 0.48 index points to 122.7 in the second quarter of 2016, in spite of a modest pull-back in economic activity throughout the third quarter. The CLI index is up 2.4 per cent compared to the third quarter of 2015.
“Job growth in key commercial sectors and robust consumer demand led the CLI higher in the third quarter," said BCREA Economist Brendon Ogmundson."A rising CLI points to continued strength in BC commercial real estate activity in 2017."
Robust third quarter employment gains offset modest declines in the economic activity and financial components of the CLI. The underlying CLI trend, which smooths often noisy economic data, continues to push higher due to several quarters of strong economic statistics.
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.