CALGARY DOWNTOWN OFFICE MARKET

Research & Forecast Report

CALGARY DOWNTOWN OFFICE MARKET Q4 2015

Calgary Market Overview The economic woes faced by the energy industry in 2015 have been well documented, as have the impact these changes have had on the Calgary and Alberta economies. The decline in energy commodity prices has resulted in substantial layoffs in the sector and a corresponding steep increase in the downtown vacancy rate. In addition, significant cuts to capital spending, the uncertainty surrounding regulatory and government change, and the continuing issues with access to foreign markets have all contributed to one of the most challenging economic environments experienced in this city. As expected, these new realities have had a profound impact on the occupiers of office space in downtown Calgary and will increasingly have negative implications for owners of office buildings in this market. Leasing activity was very limited in 2015 which created a very competitive environment for landlords. Accordingly, there has been a significant drop in rental rates and increased tenant inducements in all classes of office space.

market soared to 18.11% by year end, up from 13.93% the previous quarter and 8.52% at the end of 2014, a dramatic shift from a balanced market to a market clearly favouring tenants. Total vacancy in the Class AA market continued to rise throughout 2015 ending the year at 12.99%, up from 9.87% at the end of the previous quarter and more than doubling from the 6.1% posted at the end of 2014. Close to 1.4 million sq. ft. of new office space was added to the Class AA market this past quarter with the inclusion of Calgary City Centre (811,046 sq. ft.) and Eau Claire Tower (578,677 sq. ft.), of which only 160,000 sq. ft. remains vacant on a head lease basis, however it is not yet known as to how much of this space will come back to the market in the form of sublease availability in 2016.

NOTABLE TRANSACTIONS

TENANT

SUPPLY & DEMAND 2015 will be remembered for the massive contraction in occupied space in the downtown office market. The year ended with more than 2.74 million sq. ft. of negative absorption. This record level of contraction eclipsed the previous low water mark set in 2013 by more than one million sq. ft. The overall vacancy rate in the downtown office

BUILDING

ADDRESS

APPROX. SIZE (SF)

TransCanada Tower

450 - 1st Street SW

610,000

1.

TransCanada Corporation

*2.

Birchcliff Energy Ltd.

*3.

World Health Club

Calgary Place I

330 - 5th Avenue SW

24,000

4.

Shea Nerland Calnan LLP

First Canadian Centre

350 - 7th Avenue SW

25,000

5.

Ikkuma Resources Corp.

Fifth & Fifth

605 - 5th Avenue SW

15,000

Eau Claire Tower 620 - 3rd Avenue SW

81,000

* Transactions Colliers was involved in.

Breakdown of Downtown Calgary Office Vacancy By Class HEADLEASE & SUBLEASE COMPARISON BUILDING CLASS

TOTAL INVENTORY

HEADLEASE AVAILABILITY

SUBLEASE AVAILABILITY

TOTAL AVAILABILITY

Q3 2015

Q4 2015

Q3 2015

Q4 2015

Q3 2015

Q4 2015

Q3 2015

%

Q4 2015

%

AA

14,275,125

15,664,848

283,659

514,361

1,124,607

1,521,127

1,408,266

9.87%

2,035,488

12.99%

A

13,293,328

13,293,328

831,059

1,086,946

818,145

1,020,528

1,649,204

12.41%

2,107,474

15.85%

B

8,653,227

8,653,227

950,656

1,799,718

926,765

703,974

1,877,421

21.70%

2,503,692

28.93%

C

4,225,800

4,225,800

531,862

772,259

167,681

158,864

699,543

16.55%

931,123

22.03%

Total

40,447,480

41,837,203

2,597,236

4,173,284

3,037,198

3,404,493

5,634,434

13.93%

7,577,777

18.11%

Q3 2015 Absorption: -557,243 Sq. Ft.

1

Research & Forecast Report | Q4 2015 | Calgary / Downtown | Colliers International

Source: Colliers Research Q4 2015

Vacancy in the Class A market increased by 7% over the previous year to 15.85% at the end of 2015. Occupied Class A space contracted by 458,300 sq. ft. in the fourth quarter, resulting in close to one million sq. ft. of negative absorption for the year. The Class B market experienced the most dramatic shift as it saw negative absorption of 626,300 sq. ft. in the fourth quarter and a total of 1,611,500 sq. ft. of negative absorption in 2015. This resulted in the Class B vacancy rate skyrocketing from 10.3% at the end of 2014 to a remarkable 28.93% by the end of 2015. Similarly, the Class C market saw its vacancy rate climb to 22.03% from 12.0% over the year as another 231,600 sq. ft. of vacancy was added to the market in the fourth quarter, bringing its year-over-year absorption to negative 422,500 sq. ft.

$44.00 $41.00

6.4

4.8

(557,243)

13.93%

18.11%

Average Asking Net Rent

$23.00

$20.00

Average Additional Rent

$21.83

$21.12

Vacancy Rate (‘A’ Class Buildings) (‘A’ Class Buildings)

18.11% $41.00

$43.00

$35.00

$38.00

13.75%

$34.00

12.70% $30.00

11.97%

11.55%

$23.00

8.73%

6.40%

$21.00 $21.00

$20.00

6.40%

5.36%

3.15% 1.66% 0.52%

$27.00 $25.00

$ 25

8.23% 8.13%

$23.00 8.52%

$20.00

5.67% 3.53% 3.68%

Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4

LEGEND:

$ 15

$5

1.52%

2007

$ 20

$ 10

4.35%

0.27%

2006

$ 35 $ 30

7.70%

3.32%

$ 45

$34.00 12.75% $33.00 $32.00 $29.00

7.28%

3.58% 3.21% 2.25% 2.23%

13.93%

$36.00

$23.00 $22.00 4.56% 4.49%

$ 20

$ 50

$ 40

$38.00

$26.00

$25.00

$24.00

$30.00

$39.00

10.67%

10.67%

$26.00

0.8

$40.00

15.22%

$39.00

$29.00

2005

2

$43.00

$33.00

0.0

(475,554)

Net Absorption

$44.00 $42.00

$38.00

1.6

2015 Q4 Trend

40,447,480 41,837,203

Office Inventory

$45.00

5.6

2.4

2015 Q3

2008

Total Vacant Space

2009

2010

2011

Vacancy Rate (%)

2012

2013

2014

2015

Class ‘A’ Rental Rates ($)


$$ 00

QUOTED RENTAL RATE PER SF

TOTAL VACANT SPACE ( MILLION SF )

7.2

3.2

Q4 2015 Downtown Office Market

Calgary Downtown Office Market Overall Vacancy Rate and Impact on Class “A” Quoted Rental Rates

8.0

4.0

Summary Statistics

SUBLEASE / HEADLEASE BREAKDOWN The amount of sublease space available in the downtown office market continued to increase with the addition of 370,000 sq. ft. of space since the third quarter of 2015. This trend began in the fourth quarter of 2014 and continued throughout the year resulting in over 2.1 million sq. ft. of additional sublease space entering the market by year’s end. The expectation is that this trend will continue but not to the same degree as was seen in 2015. As previously mentioned, the space committed to by tenants moving into Calgary City Centre and Eau Claire Tower may exceed the amount of space that is actually required by these tenants. Given the low or no growth environment we are currently experiencing, we expect at least some of this space to come to market in the coming months in the form of sublease space. It is clear that sublease space will continue to have a profound impact on the Calgary office market for some time to come.

Overall, the amount of head lease space available in the downtown office market spiked by approximately 1.5 million sq. ft. in the last quarter of 2015 and 2.05 million sq. ft. over the course of the year. While the headlease availability increases in the Class AA and A markets were due primarily to the addition of two new towers and the pending relocation of the remaining 308,000 sq. ft. of Imperial Oil space to the suburbs, respectively, the Class B market saw an increase of 750,000 sq. ft. of available headlease space over the last quarter alone. The coming two years will be relatively active with lease rollovers so we anticipate that tenant’s “right-sizing” their space will continue, albeit through giving space back to the landlords in exchange for term extension on the space they intend to continue using. Indications are that landlords increasingly recognize the challenges being faced by their tenants and they will be responsive to them by seeking and providing solutions that work for both parties.

Downtown Headlease and Sublease Vacancy 2008 - 2015 5,000,000 4,500,000

Square Feet

4,000,000 3,500,000 3,000,000 2,500,000 2,000,000 1,500,000 1,000,000 500,000 0

Q1/Q2/Q3/Q4/Q1/Q2/Q3/Q4/Q1/Q2/Q3/Q4/Q1/Q2/Q3/Q4/Q1/Q2/Q3/Q4/Q1/Q2/Q3/Q4/Q1/Q2/Q3/Q4/Q1/Q2/Q3/Q4/ 08 08 08 08 09 09 09 09 10 10 10 10 11 11 11 11 12 12 12 12 13 13 13 13 14 14 14 14 15 15 15 15

Sublease Vacancy

3

Headlease Vacancy


LOOKING FORWARD Total occupancy costs will increasingly be a focus of tenants in this market going forward. While discounts on net lease rates abound through the sublease market, we are seeing landlords becoming increasingly responsive to the new reality by managing operating cost escalations and contesting real estate taxes. Not only will we continue to see a lowering of rental rates across the board, we can expect to see landlord’s look for operating efficiencies and other forms of relief that can be passed on to their tenants. One clear example of this is an emerging trend re-evaluating their parking rates, which now represents approximately $3.00/ sq. ft. of office space leased by a typical tenant, in response to the new supply and demand dynamics. The downtown Calgary office market is inextricably tied to the fortunes of the Canadian and global energy industry. The mantra of “lower for longer”

that we continue to hear regarding energy prices certainly rings true for the downtown office market as well. Looking at the market’s long-term rolling average of demand/absorption of approximately 650,000 sq. ft. per year, we can extrapolate that we currently have up to a six year supply of office space before we return to what is considered a balanced market. However, the downtown Calgary office market does not work on predictable averages when it comes to market demand and absorption. Previous oil price declines have typically been reversed by changes in global supply and demand fundamentals as well as geopolitical factors. Over the long term, oil prices will rise and the downtown Calgary commercial real estate market will recover. Years of growth in our city’s core far outweigh periods of contraction, and the price of oil over time follows an upward trend. As you can see in the chart below, each downturn is followed by significant growth, and we can anticipate a positive recovery.

DOWNTOWN CALGARY HISTORICAL ABSORPTION VS W TI 3,000,000

(07/03/2008)

$145.31

2,500,000 2,000,000

(06/20/2014)

Absorption (Sq Ft)

1,500,000

$107.95

1,000,000 500,000 0 -500,000 -1,000,000 -1,500,000

$30.28

-2,000,000 -2,500,000 -3,000,000

2015 Absorption: -2,741,481 SF

$10.86

(12/10/1998)

'96 '97 '98 '99 '00 '01 '02 '03 '04 '05 '06 '07 '08 '09 '10 '11 '12 '13 '14 '15 '16 Actual Absorption

4

YTD $32+/-

(12/23/2008)

Oil Price (WTI)


RI VE R W N

W

BO

310-314 10 ST NW

E

BROKEN PLATE

EM

O RI AL

D RI V

RIVER CON

E ID BR G

EAU CLAIRE YMCA

E

HELIPORT

GE BRID RT . L

17

16

BARLEY MILL

5 STREET SW

D TO EV W ON ER CHEVRON PLAZA

6

BRADIE PARKADE BLDG

NEW TWIN OFFICE OILS CONDO 2 BLDG DEV

23

P

14

COURT HOUSE

JOHN J. BOWLEN BLDG

PARK

GUINNESS HOUSE

P

29

RAMADA HOTEL 9

2

12

3

P

2

CENTRIUM PLACE 15

618-628 8 AVE SW (RETAIL)

7

635 8 AVE SW

40

23

RILEYS 3

11

BARRON BLDG

18

WEST

444 7TH AVENUE

3

41

TD CANADA TRUST TOWER

HOLT RENFREW

27

33

40

4

SHAW BLDG 6

HSBC BLDG 10

4

EAST TOWER

HOME OIL TOWER

DEVONIAN GARDENS

CALGARY EATON CENTRE

4

WEST TOWER WEST TOWER

32

4TH LEVEL

24

BANKERS HALL47 WEST TOWER

P PARKADE

EIGHTH 49 AVENUE PLACE

30

DOME TOWER

THE CORE (DOWNTOWN RETAIL CORRIDOR)

14

P

9

FIRST CANADIAN CENTRE

LIGHT RAIL TRANSIT

PLAINS MIDSTREAM PLAZA

CENTENNIAL PARKADE (1000 STALLS)

INTACT

3 ST SW STATION

16

11

2

WESTERN CANADIAN PLACE SOUTH

ENMAX SUBSTATION NO.1

P PARKADE 157 STALLS

4 ST SW STATION

12

GLOBE THEATRE

WESTERN CANADIAN PLACE NORTH

FIRST ALBERTA PLACE

7 STREET SW

902 9 AVE SW

AXYS BLDG 9

19

7

SURFACE PARK & UNDERGROUND PARKADE 800 STALLS

THE COURT OF APPEAL

- 5th 707 707 - 5 Street Street

ENCOR PLACE

14

20

15

14

ROAD HOUSE

3

THE CONTINENTAL

EAST TOWER

ENTERPRISE CAR RENTAL

WEST TOWER

CENTRAL ANIMAL HOSPITAL GIBRALTER PLACE

41

CALGARY PETROLIUM CLUB

333 5 AVENUE

404 6TH AVE

14

4

6 ST SW STATION

IVEAGH HOUSE

ELVEDEN HOUSE

PETROFINA BLDG 11

PAN ARCTIC PLAZA

WESTVIEW HEIGHTS

11

28

18

KNOX HALL 10

10

ELVEDEN CENTRE

CENTURY PARK PLACE

THE OLD SCOTCH

10

CALGARY PLACE I

22

3 STREET SW

10

20

8 AVENUE SW

8 WEST

METROPOLITA CENTRE

TD BANK

ROYAL BANK BLDG

SIERRA PLACE

5

LIGHT RAIL TRANSIT

8 ST SW STATION

8 AVENUE SW

P

441 10 5TH AVE

BARCLAY CENTRE

ALPINE FORD BLDG TOWER

WATERMARK TOWER

9

P

18

36

P

13

11

2

7 ST SW STATION

CENTURY GARDENS PARK

CALGARY HOUSE REST

5 STREET SW

3

NEXEN TOWER

POTENTIAL OXFORD TOWER DEVELOPMENT

PETEX BLDG

ROSLYN BLDG 10

24

18

CRAIG BROADCASTING BLDG

LIFE PLAZA

NEXEN

BRITANNIA BLDG

P

6 STREET SW

PARKADE

P

7

POTENTIAL POTENTIAL Century Gardens Tower NEXEN DEVELOPMENT

444 5 AVE

22

25

FIVE TEN FIFTH BLDG

34

ITHACAN BLDG

BANTREL TOWER

STRATEGIC CENTRE

905 7 AVE SW

DOWNTOWN U OF C CAMPUS

P

5

FIFTH & FIFTH BLDG

3

THE SHELBOURNE

WESTERN UNION BLDG

4

PARKADE

20

14

CALGARY CITY CENTRE OFFICE TOWER

GARDEN TOWERS

840 7TH AVENUE

639 5 AVE SW

WESTIN

EAU CLAIRE PLACE II

19

27

24

CALGARY PLACE II

3

6 AVENUE SW

POTENTIAL 608 DEVEL

28

18

11

8 STREET SW

BRIAR BLDG

SUTTON HALL

1010 1000 HOLIDAY INN 8 AVE SW 8 AVE SW

9 STREET SW

1040 8 AVE SW 1034

1107 7 AVE SW

5

O'NEIL TOWERS

AMEC PLACE CENTENNIAL BLDG

15

LIGHT RAIL TRANSIT

MORTGAGE BLDG

THE SUN DIAL

SANDMAN HOTEL

NORTHLAND BLDG

PENTLAND PLACE

10

P

23

18

13

DOMINION CENTRE

PLAZA 1000

6

10 STREET SW

520 5TH AVE

AQUITAINE TOWER

PRINCE ROYAL SUITES HOTEL

25

PACIFIC 66 PARKADE

EXECUTIVE PLACE

8

10

EAST TOWER

WEST TOWER

1011 6 AVE SW

PARALLEL CENTRE

PLACE CONCORDE

736 SIXTH

800 SIXTH

THE CHATEAU

31

718 8TH AVE

11

P

ATRIUM 2

6 AVENUE SW

1035 7 AVE SW

4TH & 4TH BLDG

28

23

7

5

16

31

8

715 FIFTH AVENUE

CAMPEAU PARKADE (200 STALLS)

CARKETEN HOUSE

SERVAL PARKADE

PARKADE

PLACE 9-6

4

2

8

EDINBURGH PLACE

1010 6 AVE SW

MEWATA STATION

1078 THE 6 AVE SW THE BARCLAY MCLEOD

P

805 5TH AVE SW

ATRIUM 1

10

WEST POINTE PLAZA

640 5TH AVE SW

P

THE WESTIN HOTEL

ALTIUS CENTER

LONDON HOUSE APTS

SELKIRK HOUSE

619 4 AVE SW

THE WESTIN PARKADE

32

KNOX UNITED CHURCH

800 - 5TH AVE SW

SHELL CENTRE

411 8 AVENUE SW

HERITAGE PLACE

PARK

POTENTIAL PHILLIPS LORRNEL PBA BDG DEVELOPMENT 2 SITE 410 6 ST 2

P


REGENCY SUITES13

5

PARKADE

4 STREET SW

12

7

3 STREET SW

18

UNDERGROUND PARKADE (626 STALLS)

PRINCE'S ISLAND PLACE APTS

BIRCHCLIFF ENERGY BUILDING

P

MCFARLANE TOWER

3

NORTHLAND PLACE

SERVICES LAND 3TITLES

EAU CLAIRE PLACE I

615 3rd AVE SW

5 AVENUE SW SNC LAVALIN BUILDING

7

FIFTH & THIRD

ALBERTA

P

22

921 933 5TH AVE 5TH AVE

HOTEL

17

4 STREET SW

10

11

CANADIAN CENTRE

THE SUNDANCE

FIVE WEST

507

THE AXXIS

EAST 40 TOWER

CAESAR’S REST.

UNITED PLACE

NEFF APTS

POTENTIAL BENTALL KENNEDY SITE

621 4 AVE SW

PAVILLIONS OF EAU CLAIRE

RESIDENCE

MACDOUGALL CENTRE

FIVE WEST

10

46

WEST TOWER

EAU CLAIRE TOWER

23

MCDOUGALL HOUSE CHURCHILL ESTATES

PARK PLACE 926

12

6225th Ave SW

LIVINGSTON HOUSE

SONOMA PLACE

REST.

LIGHT RAIL TRANSIT

ENMAX SUBSTATION NO 8

SHAW COURT

CENTENNIAL PLACE

BARCLAY MALL

PARK

EXECSUITE

2

3 AVENUE SW EAU CLAIRE RETIREMENT

5 AVENUE SW 503

P 2 AVENUE SW

EAU CLAIRE MANOR

PRINCE'S CROSSING

OPTIMA PLACE

GE ID BR CATHOLIC SCHOOL CENTRE

SHERATON EAU CLAIRE

23

6 STREET SW

SAHARA REST.

7 STREET SW

TENNIS COURT

TRINITY LUTHERAN CHURCH

ST UR LH

8 STREET SW

L HI

LIBERTE EAU CLAIRE

735 2ND ST

4 AVENUE SW

1040 5 AVE SW

ERNST & YOUNG TOWER

P

2 AVENUE SW EAU CLAIRE LOOKOUT

THE POINT ON THE BOW

LOUISE STATION HOUSING DEVELOPMENT

AVATAMSAKA MONASTERY

P

JOE PHILLIPS BLDG

LA CAILLE ON THE PARKE

N.W

LA CAILLE RESTAURANT LA CAILLE CONDOS

BOW CLAIRE ESTATES

3

JOEY TOMATOES

106 - 126 10 ST NW

1 AVENUE SW EAU CLAIRE APTS

EAU CLAIR

1886 CAFE

4

EAU CLAIRE AVENUE SW

RESIDENCES

130- 148 10 ST NW

AC

BARCLAY PARADE

THE PRINCETON

PE

10 STREET NW

M

PRINCE'S ISLAND ESTATES 500 EAU CLAIRE

9 AVENUE SW 907 9 AVE SW

9 AVENUE SW CRYSTAL GLASS CANADA

WAM OWNED SITE METRO FORD

P

P

GULF CANDA SQUARE

20

MOUNTAIN EQUIPMENT CO-OP

999 8 ST SW

FIREHALL NO 2

752 10AVE SW

10TH & 10TH CAR WASH

1036 10 AVE SW

CPR TRACKS

1030 10 AVE SW

640-650 10 AVE SW

730 10 AVE SW

Place 10 East Tower (under construction)

Place 10 West Tower (Potential)

614 10 AVE SW

GULF CANADA PARKADE (1,500 STALLS)

P

6

4

JOFFRE PLACE

THE PASERIUM

6

724 11 AVE SW

11

7

4

8

5

317 10 AVE SW

341 10 AVE SW

345 10 AVE SW

PARKADE

THE HUDSON

617 10 AVE SW

4 622 11AVE SUNRISE SQUARE SW

349 - 355 10 AVE SW

CENTRE 10

514 11 AVE SW

5

3

WESTCOAST THEATRE BLDG

812/816 11 AVE SW

629 10 AVE SW

COOPER BLOK

4

KIPLING SQUARE

550 11 AVE SW

44

707 10TH AVE SW

628 11 AVE SW

CORNER BLOCK

902 11TH

3

731-739 10 AVE SW

730 11 AVE SW

3AVE SW

940 11TH AVE SW

815-823 10 AVE SW

ROYOP BLOCK

2

Mark On Tenth

802 11 AVE SW

ATCO GAS

1

ASTORIA CONDO DEVELOPMENT

GLENBOW BLDG

1001 10 AVE SW

1006 11 AVE SW

ATCO GAS

ALBERTA WORKS

ALBERTAN CORNER

10 AVENUE SW

325 10 AVE SW

13

12

8

CONCRETE EQUITIES PLACE

9

9

1015 4TH ST SW

THE VINTAGE II

WORLEY PARSONS RESOURCES & ENERGY

5

CASTELLO

SAM LIVINGSTON BLDG

343 11 AVE 333 CENTRE 16

LACEY COURT

14

1122 4 ST SW

2

15

MASONIC TEMPLE

PARKSIDE PLACE

DUFF BLDG

CENTRAL PARK PLAZA

628 12 AVE SW

9

2

CENTRE 555

351 11 AVE SW

607- 613 11 AVE SW

617 11 AVE SW 4

5

5 STREET SW

4

3

KEG BLDG

4 STREET SW

THE SANDPIPER

XENEX

3

ATRIUM ON ELEVENTH

637 11 AVE SW

THE LORRAINE

701 11 AVE SW

EPIQUE HOUSE

FAIRMORE BLDG

2

709 11 AVE SW

6 STREET SW

SAFEWAY

11

DANISH CANADIAN CLUB

BARNHART APTS

DOMINION CENTRE

801 11 AVE SW

739 11 AVE SW

ATCO 9 CENTRE II

7 STREET SW

1

806 12 AVE

HARVEY BLK

FUTURE DEVELOPMENT

16

1119 1111 7 ST SW

GENESIS CONDOS

ATCO CENTRE I

8 STREET SW

1014 12 AVE SW

DAHL-SEN APTS

DANA APTS

1003-1015 11 AVE SW

9 STREET SW

2

THE CARRINGTON CONDOS

1104 11AVESW

1115 9 ST SW

1037 11 AVE SW

1040 12 AVE SW

10 STREET SW

11 AVENUE SW

ELEVEN ELEVEN BLDG

12 AVENUE SW

HAVEN

810

URBAN FLATS

THE ESTATE TOWER

EXUD

RANCHMAN'S CLUB

Proposed Palliser Square

5 Proposed Calgary City Centre Phase II

BRAEMAR PLACE

FUTURE DEVELOPMENT

Under Construction MARLHURST STONE Telus Sky Tower APTS

ADAIR APTS 802

814

PETROWEST PLAZA

NUVO

PRESTIGE APTS

816

BROMPTON HSE

BELTLINE PARK

4 SUTTON Under Construction Under Construction PLACE PLACE Street SW APTS 707 Fifth CAM Brookfield Place HELENE Phase I

CBE EDUCATION CENTRE

1222-1238 8 ST SW

CONNAUGHT GARDENS

PLAYGROUND

Completed Eau Claire Tower

FOUNTAIN COURT APTS

APTS

ASHLEY SQ

1030 13 AVE SW JULLIARD 1027 12 AVE MANOR 1023 12 AVE 1024 1022 1020 1018

Completed THE Calgary City Centre DAVENPORT

STANFORD COURT

FUTURE DEVELOPMENT

HULL ESTATES 616 13 AVE CAMBRIDGE SW GATE

Proposed First Canadian C Phase II

Proposed Oxford Tower SHELDON M. CHUMIR HEALTH CARE

MEM P LIB

CENTRAL MEMORIAL PARK


FIRST BAPTIST CHURCH

WESTMORELAND

PARK 300

PARK PLACE APTS

313

WEXFORD PLACE

PRADA

CENTRAL TOWERS

333 13 AVE SW

THE BERKENSHAW APTS

1302 13 AVE SW

LOUGHEED HOUSE

603 13 AVE SW

CANADIAN BLOOD SERVICES

THE BERKENSHAW HOUSE

801 13 AVE SW STRATTON OAKS APTS

THE MOXAM

ST. ELIZ CHURCH OF HUNGARY

THE CONGRESS

7

1303-11 7 ST SW

3

ALDRIN HOUSE

BARCLAY SQUARE

VAN HELDEN BLDG

HORIZON PARK

923 13 AVE 919 13 AVE

1019 1017 1015

1031 1029 1027

MADRID MANOR

ROYAL OAK CONDOS

THE RIVIERA

5

CAVALIER APTS

13 AVENUE SW

DISCOVERY HILL 1 AVENUE NE

MO

+ 15 WALKWAY

9

129 2 AVE SE

AA

R

RIVE

RFRO

A

NT A VE

NUE

B

SE

YO VE

CLASS LEGEND

C

FL

3

207 1 ST SE

28

3

109 7 AVE SW

EN

P

LIGHT RAIL TRANSIT

CITY

OLYMPIC PLAZA

4

531 6 AVE SE

HALL STATION

CITY HALL ADMINISTRATION BUILDING

OLD CITY HALL 4

4

CALGARY MUNICIPAL BUILDING 13

3

EAST VILLAGE

PALLISER HOTEL

PRIVATE CAR SHELTER (CP RAIL)

GLENBOW MUSEUM

429-31 8 AVE SE

CALGARY CENTRE FOR THE PERFORMING ARTS

4

CIVIC PLAZA UNDERGROUND PARKADE 500 STALLS & SURFACE PARK

SALVATION ARMY CENTRE OF HOPE

17

ORANGE LOFTS

510 9 AVE SE 518 9 AVE SE

POTENTIAL PALLISER PALLISER SQUARE EAST SQUARE EAST

CALGARY TOWER

2

10

27

DOWNTOWN DISTRICT ENERGY CENTRE

303 MACLEOD TR

FORDING PLACE

ONE PALLISER SQUARE

PALLISER LOW RISE/COMMERCIAL

FUTURE DEVELOPMENT

PALLISER 18 SQUARE SOUTH

10 AVENUE SW

KEYNOTE

1115-1119 1 ST SE

TRANSALTA PLACE I

FUTURE DEVELOPMENT

521

THE BISCUIT BLOCK

339 10 AVE SE

305 10TH AVE SE

BELL BLOCK

DEMCOR BLDG

34

ARRIVA I 1919 SCHOOL BLDG

Proposed PBA Development Site STAMPEDE CASINO CS BLDG

Proposed Barron Building 401 12 AVE SE

LIGHT RAIL TRANSIT

1223-35 MACLEOD

227 12 AVE SE

232

2

VICTORIA SQUARE

228

ESSO GAS STATION & TOUCHLESS CAR WASH

150 13 AVE SW

BERNARD SITE BENTALL KENNEDY OWNERSHIP CALLEBAUT CHOCOLATES

POTENTIAL STAMPEDE STATION PHASE II


13 AVENUE SE OLYMPIC WAY SE

1310 CENTRE ST

COLOURS

1313 CENTRE ST

UNION SQUARE

105 13 AVE SW

13 AVENUE SE

PARK

127 13 AVE SW 121 13 AVE SW

HAULTAIN SCHOOL OF FINE ARTS

6

17

12 AVENUE SE

Proposed The Bow Professional Building

Proposed 2 Century Gardens 215 SE 12 AVE Office Tower

Proposed 608 7th Street

234

CENTRE

133 12 AVE SE

ARBY'S

11 Proposed THE TheKAHANOFF Bow - South

1210 - 1238 1 ST SW

213

211 12 AVE SW

1201-1209 1 ST SW RADIO BLK

228 13 AVE SW

PARK ESTATES

Proposed 3 1202 3 SW 1ST ST 8th Avenue & HOTEL ARTS Centre Street SW

13 AVENUE SW ALBERT APTS

2

422 11 AVE SE

12 AVENUE SE

1213 222-4 13 AVE SW

ODDFELLOW REBEKAH TOWER

MORIAL PARK BRARY

Proposed THE Brookfield Place SEVILLE BELTLINE Phase POOL II

402 11 AVE SE

411 11 AVE SE

14

1101-9 MACLEOD

CO-OP GAS STATION

16

(Calgary Police Victoria Park Station)

3 STREET SE

TRANSALTA PLACE III

WEXFORD / OXFORD OWNERSHIP SITE

FLAMINGO BLOCK

TRANSALTA PLACE II

1133 MACLEOD

10

1 STREET SE

GEC ARCHITECTURE

12 AVENUE SW

d Centre

15

14

11 AVENUE SE

RIBTOR

2

427 10 AVE SE

5

RIBTOR II

4

LOUISE BLOCK

1111 3 ST SE

13

409 10 AVE SE

4

230/238 11TH AVE SW

206-220 11 AVE SW

ALBERTA TRADE CENTRE

2

314 11 AVE SE

4

CUSTOMS BLDG

THE BROWNSTONES

MACLEOD TRAIL SE

GAS PLUS ADVANTAGE

FIRST ON TENTH

3

CENTRE STREET

IBM CORPORATE PARK PHASE III

3

3

3

MEG PLACE

SUN ICE BLDG

CENTRE 110

2

2

101-109 10 AVE SE

12 1 STREET SW

MANHATTAN LOFTS

2 STREET SW

6

BROMLEY SQUARE

110 - 11 AVE SW

11

IBM CORPORATE PARK PHASE II

5

IBM CORPORATE PARK PHASE I

140 11TH AVE SW

5

11 AVENUE SW

CIBC SERVICES CENTRE

BROMLEY UNDERGROUND PARKADE

MUSTARD SEED

PARAMOUNT LIFE BLDG

11TH AVENUE PLACE

224 11 AVE SW

PARKADE

3

2

6

BROMLEY SQUARE

MUSTARD SEED

3

WESTERN BLK

10 AVENUE SE

MAcCOSHAM PLACE MAcCOSHAM PLACE

LEWIS 10 LOFTS

ELECTRIC SUBSTATION NO 5

1112 OLYMPIC WAY SE

ROYAL HOUSE

PALLISER PARKADE (1,280 STALLS)

4 STREET UNDERPASS

140 10TH AVE MOUNT

P

CPR TRACKS

P ALAMO/ NATIONAL CAR RENTAL

538 9 AVE SE

9 AVENUE SE

6

POTENTIAL PALLISER SQUARE POTENTIAL WEST PALLISER SQUARE WEST

12

10

CALGARY MARRIOTT HOTEL

10

4

535 537

LE GERMAIN

30

BURNS BLDG

9

KING EDWARD HOTEL

150 - 9TH AVE SW

PENN WEST PLAZA EAST TOWER 20

8

FIREFIGHTERS ASSOC

527 529

PENN WEST PLAZA WEST TOWER

THE VINTAGE

524 6 AVE SE

PARK PARK

520 7 AVE SE

CENTRAL LIBRARY 6

424 7 AVE SE

WILLIAM R CASTELL

15

431 6 AVE SE

POLICE PARKING STRUCTURE

NO. 1 LEGION

REMAND CENTRE COURT BOW VALLEY HOUSE COLLEGE SOUTH CAMPUS CITY OF CALGARY POLICE CITY HEADQUARTERS PARKADE 3 (300 STALLS)

PROVINCIAL COURTS 6

439 8 AVE SE

2

9 AVENUE SW

P

H

VE R

LY O

CECIL BEER/WINE

7

3

ROCKY MOUNTAIN PLAZA

CALGARY PUBLIC BLDG

CENTRE STREET


2

101 8 AVE SW

6

WARD BLK

ALBERTA HOTEL

PAIN BLK 129 8 AVE SW BANK OF NOVA SCOTIA

ALBERTA BLOCK

P

BANKERS 15 COURT

1 STREET SW

BANKERS HALL47EAST TOWER

ALBERTA GRAIN EXCHANGE BLDG

221 - 227 FLAMES 239 8th AVE SW 8 AVE SW CENTRAL (RETAIL) PALACE

7

F

STEPHEN AVENUE 6

LEESON & LINEHAM BLOCK

2 STREET SW

HOLLINGS-WORTH BLDG 6

2

TELUS CONVENTION CENTRE

STEPHEN AVENUE CIBC BLDG

300 6 AVE SE

ROCKY MOUNTAIN COURT

CATHEDRAL CHURCH OF THE REDEEMER

CENTRE ST SW STATION

P

3

3

13

ST. REGIS HOTEL

5

POTENTIAL 8TH AVENUE ROYAL ST & CENTRE BANK SW

CLARENCE BLOCK

SE

4 STREET SE

4

2

BOW VALLEY COLLEGE

5

ST. LOUIS HOTEL

3

11

5 AVENUE SE

PARK

424A 8 AVE SE

KRAFT BLDG

NORMAN BLOCK

SCOTIA CENTRE

BANK OF MONTREAL HISTORIC BLDG

6


MOLSON’S BANK

HUDSONS BAY COMPANY

DELAWARE BLDG

CENTRAL UNITED CHURCH

TR

CITY HALL STATION

THOMSON BLK

8

1 ST SW STATION

SCOTIA CENTRE

LANCASTER BLDG

POTENTIAL SKY TELUS TELUS SKY TOWER TOWER

TELUS

12

40

VENINI BLDG

25

HYATT REGENCY HOTEL

TELUS BLDG

P

TORONTO DOMINION SQUARE

10

4

N TO

6 AVENUE SE CALGARY POLICE SERVICE

THE BOW BOW THESOUTH BLOCK SOUTH (POTENTIAL) BLOCK (POTENTIAL)

PHASE II

POTENTIAL FIRST CANADIAN CENTRE PHASE II

13 AVE SW

6

BROOKFIELD PLACE PHASE I

(POTENTIAL)

12 HANOVER PLACE

TELUS CONVENTION CENTRE

POTENTIAL PHASE II BROOKFIELD PLACE

LOUGHEED BLDG

2

DOLL BLDG NEILSON BLK

BROOKFIELD PLACE

UTILITIES BLDG

3

6 AVENUE SW

TELEPHONE BLDG

10

18

EAST

CAR RENTAL

CHAMBER OF COMMERCE

BOW VALLEY SQUARE I

37

T PLACE

TRAVELERS BLDG

THE BOW

17

PARK

E

ON DM

426 6 AVE SE

32 52

BOW VALLEY SQUARE IV

5 AVENUE SE

3 STREET SE

WEST

P

DROP-IN CENTRE

RIVERFRONT SE

15

LE ROCC BOW BLDG PROFESSIONAL 4 NORTHWEST CENTRE

EAST

MACLEOD TRAIL SE

39

CALGARY BOARD OF EDUCATION

SUNCOR ENERGY CENTRE

BOW VALLEY SQUARE II

32

1 STREET SE

BOW VALLEY SQUARE III

8

CECIL HOTEL

FIRE STATION NUMBER 1

5 AVENUE SW 505 2nd ST SW

7

16

WAYNE BLDG

31

YWCA

LAGIN PLACE

28

ST. FRANCIS CHURCH

COURTYARD

DELTA BOW VALLEY INN 24

F1RST TOWER

CARTER PLACE

36

35

P

3 STREET SE

P JAMES SHORT PARK & UNDERGROUND PARKADE (880 STALLS)

TEATRO

34

TRANSCANADA TOWER

FIFTH AVENUE PLACE EAST

STOCK EXCHANGE TOWER

4 AVENUE SE

FIFTH AVENUE PLACE WEST

18

GE ID BR

316 - 3 ST SE

(BOOKER’S BBQ & CRAB SHACK)

8

4 AVENUE SW CANADA PLACE

AN

LA NG EV IN

123 3 AVE SE

DRAGON CITY MALL

10

403 RIVERFRONT AVE SE

RIVERFRONT POINTE

EG ER

SUNLIFE EAST

28

FIRST STREET PLAZA

KR O

34

ASIA PACIFIC CENTRE

8

7

RY

SUNLIFE PLAZA

SUNLIFE WEST

THE RIVERFRONT GOVERNMENT OF CANADA HARRY HAYS BLDG

EDWARDS PLACE

JAMIESON PLACE

CITY PLAZA

1 STREET SE

INTERNATIONAL HOTEL

30

38

P

115-119 3 AVE SW

28

1 STREET SW

PARKADE 200 CARS BP CENTRE

302 3 AVE SE GOOD 308 FORTUNE PLAZA 310 312

CENTRE STREET

SUNLIFE NORTH

119 3 AVE SE

3 AVENUE SW

E

100-6 110 3 AVE SE 3 AVE SE

5 HARVEST PLAZA APTS

CHINESE PENTACOSTAL CHURCH

KWAN BLDG

119 2 AVE SE 123 2 AVE SE

WAH YING MNS

IDG

23

116 3 AVE SE

BR

LIVINGSTON PLACE SOUTH

FUTURE +15 WALKWAY

FAR EAST SHOPPING CENTRE 138 3 AVE SE

114 3 AVE SW

22

CHOW BLOCK

200-218 CENTRE ST

LIVINGSTON PLACE WEST

207

NG TOWER CENTRE

NE

4A VE

BROADVIEW CENTRE

UNITED CHURCH 116 2 AVE SW HARMONIOUS CENTRE

140 2 AVE SW

HONG KONG PLAZA

5

WAI-KWAN MANOR

IVE

COVERED SURFACE PARKING

2 AVENUE SW

2

L D R

RESIDENTIAL

233 CENTRE ST

DAQING AVENUE SW

BOWSIDE MANOR

COLLIERS INTERNATIONAL VLADIMIR'S ST 900-, 335 - 8TH AVE SW UKRAINIAN ORTHODOX CHURCH CALGARY, AB T2P 1C0 T +1 403 266 ROAD NE TH 5544 MEREDI F +1 403 265 6495 www.colliers.com/calgary

RIA

WR COMMERCIAL IVE R

CALGARY CHINATOWN SENIOR’S CENTRE

205 RIVERFRONT

SIEN LOK PARK

CALGARY CHINESE CILTURAL CENTRE

2 STREET SW

1

ME

BO

P

CALGARY CITY CENTRE OFFICE TOWER

MEREDITH MANOR

FUTURE/POTENTIAL CONSTRUCTION SITE

DE WAAL APTS

CENTRE STREET BRIDGE

UNDER CONSTRUCTION

RIVERFRONT AVE SW

MARSH ROAD NE

HOLLY POINT

LEGEND

RE MARKET

YEOMAN'S YARD

HOLLY PARK

CALGARY DOWNTOWN MAP

WATERFRONT CONDOS

HILL HOUSE

4 STREET NE

R RUN NDO’S

502 offices in 67 countries on 6 continents United States: 140 Canada: 31 Latin America: 24 Asia Pacific: 199 EMEA: 108

$2.3

billion in annual revenue

1.7

billion square feet under management

16,300

MARKET CONTACT: Joe Binfet | Managing Director | Calgary [email protected] | +1 403 298 0402

OFFICE TEAM: Jim Rea | Executive VP / Partner [email protected] | +1 403 215 7250

Leigh Kirnbauer | Associate [email protected] | +1 403 298 0408

Randy Fennessey | President / Partner [email protected] | +1 403 571 8762

Derek Wiens | Senior Associate [email protected] | +1 403 298 0415

Doug May | Senior VP / Partner [email protected] | +1 403 215 7254

Craig Hulsman | Associate [email protected] | +1 403 571 8829

Warren Hedges | Senior VP / Partner [email protected] | +1 403 298 0411

Lucas Beck | Associate [email protected] | +1 403 215 9866

Aly Lalani | Senior Vice President / Partner [email protected] | +1 403 298 0410

Brett Toner | Associate [email protected] | +1 403 298 0406

Kevin McGillis | Vice President [email protected] | +1 403 571 8758

Steve Berman | Associate [email protected] | +1 403 298 0426

David Harvey | Vice President / Partner [email protected] | +1 403 215 7258

Johnathan Rojas | Leasing Assistant [email protected] | +1 403 571 8828

Sharma Christie | Vice President / Partner [email protected] | +1 403 215 9864

Chantelle Mathews | Client Project Coordinator [email protected] +1 403 538 2520

Dan Lannon | Senior Vice President / Partner [email protected] | +1 403 215 9865 Jeremy Berman | Associate Vice President [email protected] | +1 403 571 8826 Todd Suttcliffe | Associate Vice President [email protected] | +1 403 298 0414

professionals and staff

About Colliers International Group Inc. Colliers International Group Inc. is a global leader in commercial real estate services, with more than 16,300 professionals operating out of 502 offices in 67 countries. Colliers International delivers a full range of services to real estate occupiers, owners and investors worldwide, including global corporate solutions, brokerage, property and asset management, hotel investment sales and consulting, valuation, consulting and appraisal services, mortgage banking and insightful research. In 2014 the firm handled $97 billion in total transaction value for 84,600 leases and sales. Colliers manages more than 1.7 billion square feet of commercial properties. Colliers International Group Inc. generates more than US$2.3 billion in annual revenues. With significant insider ownership and an experienced management team, Colliers International has a long-term track record of creating value and superior returns for shareholders – previously under the ownership of FirstService, and as of June 2015, continuously as an independently owned company. The common shares of Colliers International Group Inc. trade on the NASDAQ under the symbol “CIGI” and on the Toronto Stock Exchange under the symbol “CIG”. collierscanada.com Copyright © 2015 Colliers International. The information contained herein has been obtained from sources deemed reliable. While every reasonable effort has been made to ensure its accuracy, we cannot guarantee it. No responsibility is assumed for any inaccuracies. Readers are encouraged to consult their professional advisors prior to acting on any of the material contained in this report.

Colliers International | Calgary 900, 335 - 8th Avenue S.W. Calgary, AB | Canada +1 403 266 5544