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Metro VancouverFederal Accommodations
PortfolioNovember 10, 2010
METRO VANCOUVER PORTFOLIO
Metro Vancouver portfolio of 349,000 Rm2 - 33 % Crown-owned- 60 % leased- 7 % lease-purchase
75 % of our leased office space expiring by 2018
13 Crown-owned assets totalling 20 buildings
Library Square, 350 West Georgia
2
OCCUPANCY PROFILE
20%
5%
6%
9%
46%
14%
CRA
DFO
PWGSC
HRSDC
RCMP
Other
3
Regional Economy
While Canada has weathered the “Great Recession” better than
most, our growth will still be influenced by Geopolitical Factors until
other major economies stabilize.
Vancouver has the right fundamentals to promote growth and job
creation
Supply constraints have put upward pressure on rental rates creating
winning conditions for new development.
Future Growth will be influenced by the geographical limitations in the
CBD, and the new development opportunities around the Skytrain
stations. 4
MARKET OVERVIEW
New office space limited in CBD
6 new projects have been announced potentially involving1.1Million sf but new inventory is unlikely before 2014
The Federal Government typically requires larger blocks of space.
5
LEASE EXPIRIES
Source: OI List, OASRES (March 16, 2010)
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Rm2
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COMMUNITY BASED INVESTMENT STRATEGY
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CBIS STRATEGIES Demand forecasting / management of expiries
Crown-owned & leasehold management strategies
Accommodation Portfolio Strategy & CommunityFramework Strategy
Burnaby Fraser Tax Services Office
8
Challenges…
Increasing lease expiries over next 5 years
Limited availability of larger blocks of office space
for lease
The real property commercial market
Project approval process
Our aging real property infrastructure
Attrition & retirements affect capacity to deliver9
SAAP OPPORTUNITIES
• Lease renewals
• Client relocations
• Client space consolidations
• Interim solutions
• Building disposals
800 Burrard, Downtown Vancouver 10
BENEFITS
Flexibility
50:50 (minimum) Crown: lease ratio by 2020
Employer of choice858 Beatty, Downtown Vancouver
11
QUESTIONS?