CHILLIWACK HAS THE LOWEST STRATA PER CAPITA IN THE FRASER VALLEY
There have been zero new industrial strata projects in Chilliwack since 2018. Property information collected by Frontline Real Estate Services, cross-referenced with the 2021 census data, points to a strata anomaly in Chilliwack, relative to surrounding municipalities. While the number of industrial properties relative to population is balanced across the Fraser Valley, Chilliwack has a significantly lower ratio of industrial strata units. With only 1.6 units per 1,000 residents, it’s no wonder only three strata units have traded in Chilliwack in the last two years. Here are a few numbers to show you just how tight the Chilliwack industrial strata market is.
INDUSTRIAL STRATA DEVELOPMENTS COMING SOON TO THE REGION
Historically, Chilliwack has served as a peripheral industrial market to the region. Due to past low land costs, owners were inclined to only build as needed, resulting in most developments being low-density, freestanding, owner-occupied buildings (as seen in the above graphs). Coupled with the lack of appetite from developers to see Chilliwack as a viable option, new strata projects were rarely pioneered. Due to the recent heat of the market across the Fraser Valley, economic growth in Chilliwack, and the notable lack of available strata, we are starting to see new strata developments being planned. See below for more information:
New industrial developments are the only predictable relief to supply. In tight industrial markets like Chilliwack, whether you are an owner-user outgrowing your current space or an investor looking to take advantage of long-term market strength (low vacancy, rising lease rates, etc.), you aren’t the only one eagerly awaiting new industrial strata units. In order to secure a strata unit in one of these exciting new projects, you must be proactive, diligent, and ready to move when presales are publicly marketed. With strata warehouses in such high demand in the Lower Mainland, we are seeing new projects consistently sell out at increasingly aggressive prices.
Ready to take advantage of first mover pricing? Lowest prices are typically found at the beginning of a project sales launch. Contact us for more information regarding timing and availability.
Chilliwack INDUSTRIAL MARKET ACTIVITY
Below is a summary of Chilliwack’s industrial real estate transactions so far in 2022 (Jan – Sept), the lack of transactions shows just how tight the market is.
Interested in Learning More About Chilliwack’s Industrial Market or Future Developments?
Contact us for more information regarding availability and current activity.
Sources: City of Chilliwack, Beedie Industrial, Denciti Development, Frontline Real Estate Services Ltd.