Article content continued
But Dhillon said he believes the fundamentals of the Calgary market are still strong, and said he expects vacancy rates to rebound later this year as COVID-related travel restrictions ease.
“Your vacancy rate will start declining. The demand is going to come from foreign students, domestic students and immigrants,” Dhillon said, adding Calgary also benefits from being a more affordable housing market than Toronto or Vancouver.
“We are in a very positive position,” Dhillon said. “The rents are flat and it’s a very affordable market, which is our competitive advantage.”
According to the CMHC report, the average monthly rent in Calgary in 2020 was $1,195, essentially flat from the year before.
Calgary’s downtown zone recorded the largest increase in residential vacancy rates in 2020, increasing to 8.8 per cent from 3.4 per cent the previous year.