Workers are steadily returning to on-site jobs, new report shows
The Winnipeg office market is stabilizing amid employees’ steady return to on-site work, according to Avison Young.
At least 47% of Winnipeg’s downtown office workers have returned to the office as of the second quarter, Avison Young said in its latest market analysis.
The average vacancy rate of Winnipeg’s downtown Class A space stood at 18.6%, while the suburban average was at 8.6%, with an average net rent of $17.30 per square foot. Total Q2 market inventory was around 19.062 million square feet.
“Touring activity is beginning to increase in the downtown and suburb markets,” Avison Young said. “Increased presence downtown includes street parking demand, higher pedestrian counts, and significant increases in events held downtown.”
“Many businesses continue to navigate the details of the hybrid work model as the flight-to-quality trend continues as improved space is a target for many businesses,” Avison Young added. “Tenants are still seeking deals for quality space as the office remains an integral part in organizational culture.”
Workers’ and tenants’ preferences are also playing a major role in the trend.
“Numerous tenants are considering their space requirements before deciding to sublet as increasing numbers of employees in the suburban market prefer office locations in close proximity to home,” Avison Young said.