The average industrial class A cap rate is 4.55 per cent, marking the first quarter of decompression since the fall of 2013, and the national average cap rate for multifamily class A high-rise stands at 3.83 per cent. Cap rates in Vancouver, Toronto, Montreal and Ottawa are generally below the national average for most property categories.

Vancouver’s office, retail and industrial cap rates actually held steady during Q2. Multifamily cap rates expanded somewhat, but remain the lowest in North America, in the range of 2.25 to 3 per cent for class A high rise buildings. “Given the strength of market at this time, Vancouver is well-positioned to outperform through this transitional economic period,” asserts Jim Szabo, vice chair with CBRE’s national investment team.