Retail in Edmonton has remained strong, even through recent economic fluctuations. The following four factors show new growth happening, which should encourage retail investors, and create new opportunities. Find out what’s happening, where the changes are happening, and consider how it may help open up new doors for you as an investor, or bolster returns on Edmonton retail properties you already have in your portfolio.
Oil Prices Remaining Stable
Oil prices are expected to remain stable and may even go up a bit, which is good news for the economy. The trend line shows prices hovering around $50 per barrel going back to 2015. OPEC and Russia have made the decision to continue with cuts in oil production, which will also help prices. While $100 per barrel may never be seen again, prices are expected to remain stable or even go up a bit with current global support for propping up prices.
GDP Growth for 2017 and 2018
Another positive report from the Conference Board of Canada predicts Alberta to have the fastest growing economy of any province. The report expects 3.3% GDP growth for 2017, and another 2.4% in 2018.
New Hospital Coming to Southwest Edmonton
The Alberta government recently made the announcement that it will add a new hospital to the southwest side of Edmonton. The hospital isn’t expected to be completed until 2026, but will bring plenty of jobs to the city during construction, and once completed. It will take over a location on Ellerslie Road found just a few blocks to the south of Anthony Henday Drive. The new hospital is expected to spur both the commercial and residential real estate markets. The province has already planned $400 million for the project, and may invest as much as $1 billion.
Canadian Western Bank Reports Increases
Another reason to be excited about the Edmonton economy is the report from Canadian Western Bank, which showed a 44% increase in year-over-year earnings. This bank’s profitability is a very good sign, considering the exposure it has throughout Alberta.
It’s an exciting time for retail investments. As Edmonton economy continues to show signs of growth, retail investments are improving as well. The economy turning for the better will only provide more retail investment opportunities throughout Edmonton and the rest of Alberta.