TORONTO — The national office vacancy rate could peak at approximately 15 per cent by the end of 2024 as the rise of hybrid work models prompt companies to reduce their office space, according to a new report by Colliers Canada.
The report said office vacancy in Canada has risen from around eight to 14 per cent since 2020, but Colliers expects that figure to fall in early 2025, barring a major economic downturn over the next 18 months.
"Hybrid is still having an impact on the market and it's taking a lot longer for people to figure out what is the right solution," said John Duda, president of real estate management services for Colliers Canada. The report said commercial tenants are 10 percentage points more likely to renew a lease for each additional day their employees work at the office. Companies are most likely to keep their current square footage of space if staff work in-office at least four days per week.
"There were clear numbers that whoever had private space, you were in the office significantly more than if you were in an open office." The firm's previous survey of hiring managers in the fourth quarter of last year found just 35 per cent favoured a hybrid setup, compared with 60 per cent who preferred everyone on the team working in-office.
Canada Latest News, Canada Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Equinor announces plans to conduct exploration drilling offshore in 2024Equinor has announced plans to conduct exploration drilling offshore in 2024. The Norwegian company announced today they&8217;ve awarded a contract for a semi-submersible drilling rig to conduct exploration drilling in the Flemish Pass Basin. Here&8217;s NTV&8217;s Ben Cleary with more, in this report.
Read more »
Madonna reschedules Canadian shows for beginning of 2024Madonna has rescheduled the North American leg of the Celebration Tour, which was delayed weeks ahead of its planned kickoff in Vancouver last month when she landed in hospital due to a bacterial infection.
Read more »
Goldplat looks forward to improved 2024 performance after another difficult quarterThe operating profit of Aim-listed mining services group Goldplat, which owns and operates gold recovery operations in South Africa and Ghana, decreased to £1.19-million for the fourth quarter of its financial year ended June 30. The group’s operating profit for the financial year also decreased to £6.03-million, from £9.07-million in the 2022 financial year.
Read more »
Taylor Swift cost breakdown: Thrilled fans to start saving, but say cost of Toronto trip is worth itCanadian fans who managed to score tickets for one of Taylor Swift's highly anticipated six shows in Toronto have already spent a good chunk of money. Those who live outside the Toronto area are now also budgeting for the cost of travel and accommodation in November 2024.
Read more »
Here’s how much Taylor Swift fans plan to spend on her Toronto concertsCanadian fans who managed to score tickets for one of Taylor Swift's highly anticipated six shows in Toronto have already spent a good chunk of money. Those who live outside the Toronto area are now also budgeting for the cost of travel and accommodation in November 2024.
Read more »