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Tech and AI driving office leasing in Vancouver and other gateways, says report

AI is expected to be a major growth driver for Vancouver’s tech industry and office space demand over the next decade, according to a new report.

The commercial real estate market could be reshaped as AI adoption scales across industries and transforms business, said the 2026 Tech Gateway Office Markets report by CBRE Ltd.

The report, released Monday, examined how a tech growth cycle is accelerating leasing activity in 17 markets in the U.S., Canada and Europe.

Vancouver saw greater tech industry office leasing activity in 2025 compared to 2023, said the May 11 report.

It was among 12 of the 17 markets that saw increased tech leasing activity, with the largest percentage gains in Manhattan, Toronto and Boston, said the report.

Vancouver saw a rising vacancy rate over the past two years—it increased by about 16 per cent during that period—but the city recorded positive net absorption growth and positive annual rent growth in 2025, said the report.

In Canada more broadly, the tech industry accounted for 14.7 per cent of total leasing in 2025 or 2.8 million square feet. This volume was 55 per cent higher than 2023 but well below peak levels in 2019, similar to the U.S., the report said.

The tech industry share of total Canadian office leasing increased to 32.2 per cent or 1.4 million square feet in the first quarter of 2026, up from 15 per cent in 2025, said the report.

CBRE said AI will create entirely new business opportunities much like mobile devices enabled the app economy more than a decade ago.

It said venture capital (VC) funding reached a record high in 2025 in the U.S., Canada and Europe, and that AI is accounting for a rising share of VC funding.

“The technology industry is in the early stages of what could be a large growth cycle driven by AI development and deployment,” said the report.

“AI innovation will likely create more jobs than it replaces and increase office space leasing demand in tech gateway office markets,” it said.

Still, the report noted that AI-related job cuts are increasing as many tech companies reposition their workforces and capital expenditures.

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Brick-and-mortar retail resilient as macroeconomic storm clouds gather

Online shopping has been the bogeyman of brick-and-mortar retailers since well before the COVID-19 pandemic forced everybody online.

But the reports of the death of in-person retail were greatly exaggerated.

“We’re always talking about the demise of retail because of e-commerce, but it’s persevered over the years,” said Raymond Wong, vice-president of data solutions with Altus Group.

A survey of investment intentions Altus Group conducted last fall indicated that retail was the top choice, thanks to the promise of steady cash flow and appreciation due to few purchase opportunities.

“Number one on the list is still retail – especially food-anchored retail strips – followed by apartments, industrial and office,” Wong said.

Jon Buckley, senior managing director of Marcus & Millichap’s Western Canada NNN Group, which specializes in single-tenant triple-net (NNN) assets, believes transaction volumes and investor interest are now past pre-pandemic levels across all retail asset classes.

“What we’ve noticed post-pandemic is that because there was a negative view towards retail assets for so long, there wasn’t a lot of new supply coming online,” he said. “If anything, you’d see older retail centres being redeveloped into mixed-use residential with retail in the podium, but there wasn’t a lot of new product coming online. And as retailers have continued to perform well, we’ve seen excess tenant demand and limited new supply, so that’s created upward pressure on lease rates. Strong fundamentals and strong metrics have driven a lot of investor demand back towards retail now.”

While grocery-anchored centres and open-air retail strips have shown particular strength, the NNN properties his team specializes in have also performed exceptionally well. Quick service restaurants with drive-thrus are a case in point, thanks to the scarcity of locations.

“There’s just not a lot of corners remaining where you can go and put a drive-thru,” he said. “So, in those existing facilities, they’ve seen upward pressure in rents.”

Drive-thru restaurants have replaced financial institutions as tenant of choice for buyers of single-tenant assets thanks to their reliable income, exceptional covenants and long-term leases.

Most of the big banks have sold their real estate in recent years, Buckley said, so most bank locations are owned by private investors – also the most active type of retail investor in 2025.

This is the case not just for single-tenant assets but also some of B.C.’s largest retail deals last year, including the $140 million acquisition of 798 Granville St., Vancouver, by GJ Group Robson Inc. and Shato Holdings’ $137 million acquisition of Willowbrook Park in Langley.

On the Prairies, one of the most active buyers in recent months has been Montreal-based real estate investment firm Leyad, which acquired St. Vital Centre in Winnipeg for $160.5 million earlier this year as it focuses on properties delivering consistent returns in growth markets.

“This acquisition embodies everything we look for in a community shopping centre,” said Leyad president and CEO Henry Zavriyev in announcing the purchase. “St. Vital Centre is dominant in its market, anchored by essential retail, deeply embedded in the daily lives of the community, and positioned for many decades of continued success. We are proud to become its long-term steward.”

Originally built in 1979, St. Vital Centre underwent a comprehensive renovation and expansion in 1998. It is now one of the top-performing shopping centres in Manitoba, with 926,310 square feet of gross leasable area and 160 retailers, including Indigo, SilverCity, Dollarama, London Drugs and Walmart.

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'Generational opportunity': Industry report eyes expansion of region's hotel properties

The ambitious goal to build up to 20 new hotels and add 2,000 new rooms to the region over the next decade is gaining momentum with municipalities, First Nations and developers, says the chief executive of Destination Greater Victoria.

Paul Nursey said that as new residential builds wane and the price of land stabilizes, the hotel space is emerging as a “generational opportunity” to address a 25% decline in rooms since 2016 and refresh the hotel landscape to remain competitive in the global tourism industry.

The tourism marketing group assembled a working group of five municipalities, industry partners, builders and the Songhees First Nation last year to work together to bring more hotels to the planning phases.

In 2025, hotel occupancy was at nearly 80% over the entire year and at one point during the summer, reached 94%.

This season is shaping up to be the same or even better, said Nursey.

The region has about 4,500 hotel rooms, but needs more after losing properties for social housing during the pandemic and redevelopment.

The working group issued its first report this week with recommendations for local governments to kick-start new hotel plans by identifying potential sites and zoning, addressing complex permit processes, pursuing First Nations partnerships and supporting the renewal and expansion of existing hotels.

The report notes that existing hotels are aging, with more than half built before 1975 and requiring significant renovations or replacement.

Managers and chief administrative officers from Victoria, Colwood, Saanich, View Royal and Sooke are part of the working group and are taking the lead, said Nursey.

“The municipal partners are really rolling up their sleeves. They are taking this seriously,” Nursey said.

“They see a sense of opportunity and a diversification of their tax base.”

View Royal, for example, doesn’t have a hotel and wants one to attract a slice of the annual visitor pie.

Colwood has recently approved two sites for hotels in the Royal Beach development along its waterfront. Sooke wants more hotels that highlight its waterfront and serve as a gateway to the trail system west of the town.

Jocelyn Jenkins, manager for the City of Victoria, said the city is “happy to collaborate” with the working group on future hotel projects, adding the tourism economy is essential for businesses, the city and the conference centre it owns.

Aryze Developments director Chris Quigley said interest in the hotel sector is gaining strength among developers. The company recently partnered with Victoria software developer Redbrick, which purchased the old Plaza Hotel property in downtown Victoria, to build a new hotel on the property.

He said the working group sets out a road map for companies to “navigate the permitting system and unlock projects” that will strengthen the local economy.

“With several hotel projects in our pipeline, we’re committed to working with local government and our business partners to make a new hotel development in Victoria a reality,” said Quigley.

Recent statistics show hotel demand is on the rise. Greater Victoria showed a jump in average daily room rates — a metric considered a key indicator of the health of the industry — from $200 a night in 2024 to $224 last year. Conferences increased by 20%, and arrivals at Victoria International Airport saw a 5% lift.

In a recent hotel investment report, Colliers said the hotel asset class has seen a surge of activity nationally, with more than $2.2 billion in hotel transactions in 2025, an 11% increase over the previous year. The report cited the strength of domestic tourism and improved international inbound travel, both expected to increase in 2026.

Municipal leaders identified several types of possible new hotels for the region.

Outside of the need for full-service hotels in the downtown core, the group said there could be more affordable mid-scale hotels for sports tournaments and cultural events, boutique hotels connecting visitors to bike and hiking trails and transportation hubs, extended-stay hotels for major employment hubs like the naval base in Esquimalt and Victoria General Hospital in View Royal, and mixed-use developments that pair hotel and residential uses.

The report said 2,000 new hotel rooms would generate more than $100 million in annual visitor spending, 1,180 direct jobs in hotel operations and 1,580 indirect jobs supporting operations.

The 130-room TownPlace Suites by Marriott recently opened at Victoria International Airport, and the same brand is opening a 103-unit, six-storey hotel in Langford next spring.

The first new hotel in Victoria in nearly two decades is under construction on Broad Street. The 167-room Hyatt-branded hotel is expected to open in 2028 at Broad and Johnson streets on the historic Duck’s Building property, preserving the 1890s-era facade and back wall.

Reliance Properties recently submitted new plans to the city for its project at 780 Blanshard St., the former B.C. Power Commission building.

The new plans call for the rehabilitation of the existing building as a 124-room hotel with a public café.

Recent hotel sales have also brought optimism for potential improvements.

This month, Toronto-based InnVest, the country’s largest hotel owner and operator, purchased the Hotel Grand Pacific on Belleville Street. The 304-room hotel, owned since 1996 by Pacific Sun, had been on the market for months. The property’s value is close to $48 million.

The Royal Scot Hotel on Quebec Street was sold this year to Vancouver-based Synvest Capital for about $41 million. Synvest’s hotel management division, Roadside Hospitality, will run the hotel. It will also run the Bedford Regency Hotel, which Synvest purchased last year for $8.9 million.

dkloster@timescolonist.com

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Eastern Prairies to lead recreational property price growth

Cottage prices are set to rise across Western Canada this year ac­cording to Royal LePage’s spring recreational property report, released March 26.

The strongest growth is forecast for Manitoba and Saskatchewan, which will lead the country with 5.5 per cent growth in the median sales value of cottages. This follows 5.7 per cent growth in waterfront cottage prices last year, the strongest growth in Western Canada and the sec­ond-strongest growth rate nationally. Manitoba's Interlake region saw the strongest growth in waterfront cottage prices last year at 6.6 per cent to $395,000 -- an attractive figure versus the regional median of $477,400.

Domestic buyers are driving demand, consistent with other regions, but supply has not kept up, as many properties are generational holds for their families.

Alberta ranks second, with 2.5 per cent growth in median cottage values fore­cast for this year, followed by British Columbia at 1.5 per cent. However, the median value of waterfront retreats in B.C. dropped significantly last year, falling 14.8 per cent. The drop was driven by a 22.6 per cent decline in the Okanagan region.

Royal LePage reports that recreational home inventories through 2025 were largely similar to 2024 volumes, with 69 per cent of recreational real estate agents surveyed indicating that average days on market has increased versus a year ago.

Trends in Western Canada mirror those in Eastern Canada, where more affordable regions are seeing stronger appreciation in values even as the record double-digit growth seen during the pandemic has waned and single-digit growth has become the norm.

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Commercial real estate market at turning point as vacancies drop: report

Canada's commercial real estate sector could be at a turning point after the national vacancy rates for both office and industrial properties simultaneously declined for the first time since 2020, a new analysis has found.

The report from Colliers International said the national office vacancy rate was 13.6 per cent in the first quarter of 2026, down one percentage point year-over-year and marking one of the most significant improvements since the COVID-19 pandemic.

Canada's industrial market, meanwhile, recorded its first national vacancy decline since 2022, down to 3.5 per cent.

The report said these trends suggest the commercial real estate market as a whole is moving toward a more balanced environment.

"It was quite unprecedented how long, especially office vacancy, went up," said Adam Jacobs, head of research for Colliers Canada, in an interview.

"It was a good five or six years of rising rates ... but the return-to-office momentum we've seen, especially in Toronto, has been very rapid in the last six months and it's really turned the market around quite quickly."

He said leasing demand is still concentrated primarily in the "best of the best" buildings, and it could take some time for that momentum to trickle down to other less coveted properties.

Toronto and other major urban centres in Canada are still working through an oversupply of existing office space after a post-pandemic surge of completions, said Ben Haythornthwaite, CoStar Group’s director of market analytics.

"The office market is like if you had a patient in the intensive care ward, they've now moved into the general ward," said Haythornthwaite.

"It's still sick, but it's not getting any worse and that's why we're seeing vacancy tighten up."

While many companies have moved their employees back to the office for at least part of the week, inventory growth is grinding to "a near-total halt," the Colliers report said.

Less than two million square feet of new office space is currently under construction, marking a major downswing from the period of 2021 to 2023. Each quarter during that stretch, an average of 1.8 million square feet of new supply was delivered nationally.

The slowdown in new office builds means Canada is unlikely to see any meaningful supply gains before the end of the decade, given that construction can take roughly three to seven years per project, said Veritas Investment Research analyst Shalabh Garg.

He predicted vacancy rates will continue falling, especially as more office space is also converted for residential use, but won't reach pre-pandemic levels.

"Five to 10 per cent vacancy rate is what's optimal, but it's hard to see us getting there," he said, noting the last time construction activity was this slow was the early 2000s.

"We would need to see lots more conversion of older office space into some different use."

On the industrial side, Jacobs said the market is coming back strong from a brief shock caused by tariffs and trade uncertainty last year.

Market absorption outpaced new supply in the quarter, with more than 3.6 million square feet newly taken up, compared with three million square feet delivered, according to the report.

Jacobs said the trend shows the market is stabilizing after inventory had been piling up.

"Anywhere you live, you can notice a lot of new warehouse space was built in the last five years and there is just kind of a natural cycle to every market," he said.

"It takes a while to absorb it. But I think we're kind of through the other side of that in both the office market and the industrial, where a lot was built, it was difficult to build it all and now the building is really slowing down and we're starting to see those spaces fill up."

Colliers said industrial construction starts were resilient in the first quarter, with 5.6 million square feet of new projects breaking ground. Toronto, Vancouver, and Calgary drove 76 per cent of all new starts.

"For the most part, I think we're going to continue seeing demand increase for industrial space and we will see that space absorbed," said Haythornthwaite.

He said industrial markets should continue tightening in the coming years, however the looming renegotiation of the Canada-United States-Mexico Agreement continues to cast a shadow of uncertainty in the short-term.

"I think we're probably going to see a slowdown in leasing over the next couple of months, just while people wait and see what happens with that because we're getting so close to it now," said Haythornthwaite.

This report by The Canadian Press was first published April 20, 2026.

Sammy Hudes, The Canadian Press

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B.C. hotel sector demonstrates collective resilience despite headwinds

Despite a weak Canadian dollar, rising unemployment and a shrinking national GDP, B.C.’s hotel industry appears to be showing a level of collective resilience not seen this decade.

CBRE Ltd. senior vice-president Nicole Nguyen with the brokerage’s valuation and advisory services group told Western Investor that B.C. markets across the Okanagan and Interior, along with Vancouver Island, saw high occupancy and transaction rates over the summer on par with pre-COVID-19 levels.

“We're back to or beyond, in many cases, 2019’s peak industry performance from both the top line and, most importantly, on the bottom-line standpoint,” Nguyen said.

The metrics used to gauge the hotel industry’s pulse include occupancy and capacity rates, overall revenue, revenue per available room (RevPAR) and average daily rate (ADR), among others.

CBRE’s 2026 Hotels Outlook report issued Sept. 15 indicates that B.C.’s hotel sector is outpacing every other region in the country.

Province-wide occupancy levels have consistently sat around 70 per cent since 2023, while ADR numbers were pegged at $252 million – a significant jump from 2019’s five-year low of $192 million. B.C.’s RevPAR numbers also reached a five-year high: $178 million this year compared to $136 million in 2019.

Ontario and Quebec’s occupancy rates hovered between 66 and 67 per cent; ADR numbers were at $210 and $233 million respectively; and RevPAR stats place Ontario at $141 million and Quebec at $153 million.

Nguyen said two major factors are driving the provincial sector’s recent success: fewer domestic travellers headed to the U.S. and less wildfire disruption.

While the 2025 wildfire season was vast in scope, its impacts didn’t include widespread displacement or trip cancellations. Tofino, Victoria and southern Vancouver Island, Kamloops and Kelowna and the Rocky Mountain region straddling the B.C.-Alberta border all performed well, Nguyen said.

The Metro Vancouver-wide snapshot was somewhat sluggish on the transaction side largely due to the nature of the owners. As Nguyen explains, those assets are often held by large, private investors or long-term owners such as pension funds.

New builds in major metro markets are also hampered by land, input and labour costs, along with the time it takes to get to market, and investor risk. When activity in those major markets see an uptick, it’s most often the purchase of existing properties rather than new builds.

“It's incredibly difficult to get an asset in Vancouver and it's the same in Toronto,” Nguyen said. “Once you have [a hotel property], it's rare that they transact and that's just because of the style of ownership.”

Macdonald Commercial Real Estate Services Ltd.’s Nick Goulet is the only commercial agent based on the west coast of Vancouver Island. As of mid-September, Goulet’s firm was overseeing the sale of the Tofino Motel Harbourview, a 13-room motel at the entrance to Tofino with an asking price of $6.2 million.

“Buyer activity in the hospitality market, especially with boutique hotels and motels like the Tofino Motel Harbourview, has been noticeably strong,” Goulet said. “I continue to see steady interest from groups both on and off the Island, and I’m speaking with buyers on a regular basis about opportunities here.”

Goulet has seen considerable uptick from lifestyle buyers wanting income properties in coastal locations who are largely unbothered by the geopolitical unease between Canada and the U.S.  

“I've experienced a notable amount of interest from U.S. investors on various investments,” Goulet said. “The buyers I’m dealing with are focused more on the long-term appeal of the Island.”

Further south down the Island, JBW Commercial broker Harry Jones recently helped close a deal on Victoria’s iconic Bedford Regency Hotel. The purchaser paid $8.9 million, and Jones said plans are to maintain the property as a hotel operation.

Jones’ sense of the Capital Region market isn’t as bullish as his west coast counterpart – instead, Jones views the trends as “active, but selective.”

“The market isn't what it was a handful of years ago when things were flying off the shelf,” Jones said. “But we're still seeing a strong, strong amount of activity on the investment sale side of things.”

Jones’ tempered approach is shared by Nguyen as she looks forward to the rest of 2025 and into 2026.

Nguyen points to several precursors that could interrupt the travel and hotel sectors moving forward: the national GDP shrinking by 1.6 per cent in the second quarter and a rise in both unemployment and core inflation.

“Generally bookings are made 60 to 70 days out when most people make their decision about where they're going,” Nguyen said. “As the economic data starts continuing to shift, if the unemployment continues to rise and we continue to see really poor output out of the economy, the hotel industry will catch up fast. I can tell you that from other downturns, the tap turns off really quick in those situations.”

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Wave of self-storage supply anticipated in Western Canada

                                                                                                                             Jami Makan   Sep 4, 2025 7:30 AM

Notable deals and a sizable development pipeline indicate a robust self-storage market in Western Canada, where migration, density and business users are driving demand. 

Nearly four million square feet of new supply is expected in B.C. and Alberta together between now and 2028, said Antonio Balogh, national market intelligence lead with commercial real estate services firm Avison Young (Canada) Inc. 

New supply in B.C. represents 26 per cent of national self-storage construction, and in Alberta it represents 15 per cent, in both cases topping their existing market share in Canada, he said in a statement. 

“Today, we are seeing multiple demand drivers cementing a compelling long-term investment strategy for self-storage real estate, especially in Western Canada,” he said. 

Recent deals have included QuadReal Property Group LP’s purchase of Maple Leaf Self Storage Inc.’s 15-facility portfolio in B.C. and Alberta, a deal disclosed in May and estimated at close to $1 billion. 

U.S.-based SmartStop Self Storage REIT Inc. has also been an active player in Western Canada, acquiring a 74,000-square-foot facility in Kelowna in April for US$29.1 million and backing Strategic Storage Growth Trust III Inc.’s acquisition of a 52,500-square-foot East Vancouver facility in June for more than $35 million. 

SmartStop also recently acquired five properties in Alberta from Bluebird Self Storage, which made its own purchase of a newly built facility in Victoria in March for $26.7 million. 

“People need places to store things as the population grows and as the inventory of housing grows,” said Kirk Kuester, executive managing director in the Vancouver office of commercial brokerage Colliers Canada, which was involved in the East Vancouver deal. 

“Units are smaller and people are getting by with way smaller spaces to live in and way fewer storage options within their places,” he said. 

Self-storage is tied not just to migration and smaller housing, but also to warehouse availability. 

“We’ve seen a pretty large increase in commercial users of storage, especially in major metropolitan cores, because there’s a distinct lack of warehouse space,” said Patrick Wood, a partner with Victoria-based brokerage JBW Commercial Inc. 

Some retailers rent storage units for the months leading up to Christmas and then vacate them after the holiday season, he said. Meanwhile, some Fraser Valley companies are re-supplying their technicians who work in downtown Vancouver from nearby storage units, reducing travel time. 

“It’s a cost-saving thing. Because a lot of self-storage facilities are pretty well located, it really brings efficiencies to a lot of businesses,” Wood said. 

Avison Young’s Balogh said the adequacy of self-storage supply is based on the square footage of rentable storage space per capita. Ontario and B.C. lead the way at 32 and 31 square feet per capita, respectively. Alberta’s supply is relatively tighter at 25 square feet per capita, while Manitoba and Saskatchewan are below 15 square feet per capita, he said. 

“While new supply in Manitoba and Saskatchewan is more muted up to this point, the tight existing supply per capita creates potential for a quick spark,” he said. 

Those interested in entering the storage industry may see slightly higher cap rates “mostly because storage is an operating business,” JBW’s Wood said. 

Rental rate growth has stabilized to around 3 to 4 per cent a year, after big increases during the pandemic, he said. 

Yet self-storage requires “very active” management due to short-term leasing and the need for constant marketing, Wood added. 

Self-storage is an active, alternative asset class similar to student housing, senior housing and data centres, said Colliers’ Kuester. 

“They appeal to a unique investor, and it’s an investor that quite often is very focused strategically on alternatives,” he said.

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$10-a-day child care still elusive for most B.C. families

espite concerted efforts to expand the level of safe and affordable child care in B.C., advocates estimate three-quarters of children in the province do not have access to licensed child care, and less than three per cent are receiving care for $10 a day.

Those numbers fall short of the provincial government’s commitment eight years ago to establish universal, affordable child care, according to the Coalition of Child Care Advocates of BC, which has renewed its 14-year-old campaign for $10-a-day child care in British Columbia amid long waitlists.

“There isn’t a client that has approached us who doesn’t have a whopper waitlist,” said Brian Wakelin, architect with Vancouver-based Public Architecture + Design Inc.

But delivery more daycare supply is challenged by B.C. real estate realities, including space scarcity, and limited or complicated funding options.

For example, while it may seem logical to include daycares in mixed-use developments, an increasingly prevalent development choice in the Lower Mainland, a separate financing and governance structure may be required for that daycare component. Daycare spaces also have unique needs, such as a rooftop playground and dedicated elevators, experts say.

“You’re trying to get ideally good sun access, good pickup and drop-off and things like that, and sometimes those just take a little bit more planning, a little bit more imagination and consideration with mixed-use developments,” Wakelin said.

He said daycares should ideally be located near employment and housing areas, and should be developed in bundles or clusters to accommodate a mix of age ranges.

Besides square footage, perhaps the biggest barrier to rapid growth is a high degree of regulation. Due to prescribed target sizes, staffing ratios, kitchen sizes and washroom sizes, the industry is “quite carefully controlled,” he said.

“Licensed child-care facilities in B.C. [are] taken very seriously. There are all sorts of standards,” Wakelin said.

“There’s actually a whole body that oversees licensing and child-care facilities,” which reviews daycare plans and buildings before, during and after construction, he said.

Things inspectors check for include sight lines for staff; no sharp edges, protrusions or hiding places; and access to adequate outdoor space. “Washroom design for child cares is like a whole industrial design exercise,” he added.

Provincial child-care efforts in detail

While all levels of government are involved in expanding child care, the province is the main player.

Since 2018, the province has funded the creation of 40,900 new licensed child-care spaces, with 24,900 of these spaces open and providing care. There are also 160,000 children in B.C. whose families are benefiting from the province’s child-care affordability programs, according to a statement from the Ministry of Education and Child Care.

The families of 16,000 children are paying $10 per day for that care, according to the province. As of May 2025, the families of 144,600 children are saving up to $900 a month through B.C.’s Child Care Fee Reduction Initiative, with 96 per cent of eligible spaces participating and offering reduced rates.

Some families receive additional help. According to the province, the Affordable Child Care Benefit (ACCB) is further reducing fees for 34,900 children each month. Available to families earning $111,000 or less, ACCB can be combined with other programs to bring costs down to $0 for some families.

“Together, these affordability programs have reduced average child-care fees for families with children 12 years and under from $47 per day before fee reductions to approximately $19 per day across the province,” said the ministry’s statement. 

The types of child care available in B.C. vary widely.

Some facilities are operated by institutions, non-profits and community centre associations. One example is the new Fulmer Family Centre for Childhood Studies at Capilano University, which was designed by Public Architecture + Design and includes an integrated 74-space daycare.

On the other end, small operators do not need a permit or licence if they are providing care for up to two children (or three or more children who are siblings) and there are no renovations made to the home.

In the middle are private facilities that combine supervision and education, such as Vancouver-based CEFA Systems Inc. and Nova Scotia-based Willowbrae Academy.

When it opens in Delta in late fall 2025, Willowbrae will operate the city’s largest daycare facility at 11,470 square feet and the capacity to care for 166 children. Preet Gill, CEO of the academy, said finding a suitable location was the hardest part. 

“There’s very limited commercial space right now. You also want to be very particular what area you’re having this daycare in. Is it too busy? You don’t want it to be too dense or a city centre-type area. That’s not safe for children,” she said.

Financing can also be tough. Not all banks are willing to work with or lend enough money to borrowers who don’t have a track record of operating daycares, she said. 

Fortunately for Gill, Willowbrae supports its franchisees in various ways. “Even in the construction phase, we do weekly meetings, even as of right now, so they’re very hands-on,” she said.

“They have a very tailored step-by-step program for the owners themselves.”

Harp Khela, president of Khela Real Estate Group, brokered the Willowbrae Academy deal in Delta. He said there are two big things B.C. municipalities can do to enable more daycares.

The first is to follow Delta’s example of pre-zoning all of its commercial zonings so that they are pre-approved for daycares, giving operators one less thing to worry about.

Second, cities should lower or eliminate community amenity contributions (CACs) for daycares, as is currently done to incentivize rental housing.

“If there’s no CACs being charged for that square footage, there’s that much more of an incentive for the developer to say, ‘Hey, let’s build more square footage and let’s add another floor … and let’s put a daycare there,’” he said.

On June 24, the Coalition of Child Care Advocates of BC re-launched its “$10aDay” campaign for universal, affordable, quality child care in B.C.

Participants say the campaign, which dates back to 2011, is being brought back because of “a failure by the province to deliver on its commitment.”

In 2017, then-premier John Horgan committed to “affordable universal child care.”

Gregson said B.C. has about 600,000 children aged 0-12 years, but just 160,000 licensed spaces, only 16,000 of which officially offer care for $10 per day.

That means as few as 2.7 per cent of B.C. children are receiving $10-a-day care.

“For a few years, there was significant progress in making affordable child care available to more B.C. families, and improving wages for educators. That progress has now stalled,” said Sharon Gregson, a coalition spokesperson.

With just three years remaining in the government’s 10-year plan, she said the province has “flatlined” provincial child-care funding in its last two budgets, with no new provincial funds committed to achieving the promise of quality, universal $10-a-day child care by 2028.

“If you’re lucky enough to get a licensed child-care space, you’d have to be, on top of that, a lottery winner,” she said.


Jami Makan jmakan@biv.com

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Top Businesses to Start in Vancouver in 2025 with $50,000

1. Mobile Car Detailing or Eco Car Wash

  • Why: Vancouverites love their cars and the environment.

  • Start-up Needs: Equipment ($15K), branding & website ($5K), van lease ($10K), licenses & marketing ($5K)

  • Highlights: Low overhead, scalable, high demand in condos and office districts

  • Bonus: Promote as a waterless or eco-friendly service


2. Home Organization & Decluttering Service

  • Why: Popular with urban professionals, downsizing retirees, and busy families.

  • Startup Costs: Equipment & supplies ($5K), website + ads ($5K), vehicle or transit pass ($2K), insurance & admin ($3K)

  • Opportunities: Partner with realtors and staging companies

  • Extras: Offer digital organization or minimalism coaching


3. Pet Care Business (Mobile Grooming, Dog Walking, or Pet Sitting)

  • Why: Vancouver is extremely pet-friendly.

  • Startup Budget: Marketing ($5K), licensing ($2K), equipment ($5K), website ($3K), van lease optional

  • Scalability: Add grooming or training services later

  • Niche Add-On: Organic or handmade pet products


4. Boutique Cleaning Business (Eco or Specialized)

  • Why: High-density residential areas and eco-conscious consumers

  • Start-up Budget: Cleaning kits & uniforms ($5K), insurance ($3K), website & branding ($5K), marketing ($5K)

  • Niche Option: Focus on post-renovation, Airbnb, or seniors

  • Scalability: Easy to grow team-based model


5. Online or Pop-up Specialty Food Business

  • Examples: Vegan treats, Asian fusion snacks, gluten-free baked goods

  • Startup Needs: Cottage license or commissary kitchen rental ($10K), product dev & branding ($10K), pop-up equipment ($5K)

  • Where to Sell: Farmers markets, Granville Island, Instagram

  • Bonus: Partner with local cafés or food delivery platforms


6. Digital Marketing Consultancy (Niche: Real Estate, Wellness, Local Retail)

  • Why: High demand from small businesses with weak digital presence

  • Skills Needed: SEO, social ads, Google My Business

  • Startup Use: Branding + website ($5K), software tools ($5K), networking events & workspace ($3K)

  • Scalable Model: Freelancer to agency model


7. Health & Wellness Coaching (Mobile or Online)

  • Popular Niches: Nutritionist, fitness coach, mindfulness guide

  • Budget Plan: Certifications & liability insurance ($5K), branding & client platform ($10K), ads ($5K)

  • Target Market: Professionals, moms, retirees, immigrants

  • Add-On Ideas: YouTube, online classes, or group workshops


8. E-commerce Retail (Locally Made, Sustainable Products)

  • Popular Ideas: Home goods, fashion, wellness kits

  • Startup Budget: Inventory ($15K), Shopify setup & branding ($5K), marketing & influencer budget ($5K)

  • Local Strength: Market through Vancouver artisan networks

  • Bonus: Add in-person booth at markets or local collabs


9. Tourism Side Hustle: Guided Experiences or Walking Tours

  • Startup Focus: History, culture, architecture, photography, Indigenous tours

  • Startup Budget: Permits, branding, insurance, website ($5K–8K)

  • Monetization: Airbnb Experiences, TripAdvisor, direct bookings

  • Low Overhead: Just your expertise and a good story


10. Artisan Crafts or Customized Products (Etsy + Vancouver Markets)

  • Examples: Jewelry, laser-cut wood, handmade candles, home decor

  • Startup Costs: Equipment/materials ($10K), branding & e-commerce ($5K), market fees ($3K)

  • Great Fit: Vancouver’s art-friendly scene & conscious consumers


📝 Tips for Success:

  • Focus on Niche: Vancouver rewards highly specialized and value-driven businesses.

  • Go Local & Sustainable: BC consumers strongly prefer local, eco-conscious businesses.

  • Use Free Resources: Explore Small Business BC, Launch Academy, and Futurpreneur for mentorship and funding options.

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Top Startup Business Opportunities in Vancouver (2025)

1. Sustainable and Eco-Friendly Products

Business Concept: Launch a retail or e-commerce store specializing in eco-friendly products such as biodegradable packaging, sustainable fashion, and green consulting services.

Target Market: Environmentally conscious consumers and businesses in Vancouver seeking sustainable alternatives.

Revenue Streams: Product sales, consulting fees, and potential subscription boxes for eco-friendly products.

Marketing Strategy: Utilize social media, local eco-events, and partnerships with environmental organizations to build brand awareness.

Financial Projections: Aim for steady growth with a focus on reinvesting profits into expanding product lines and services. 


2. Health and Wellness Services

Business Concept: Establish a wellness center offering services like virtual wellness coaching, holistic health treatments, and mental health apps.

Target Market: Health-conscious individuals, including professionals and seniors, seeking comprehensive wellness solutions.

Revenue Streams: Service fees, membership subscriptions, and sales of wellness products. BPlan AI

Marketing Strategy: Leverage content marketing, partnerships with healthcare providers, and community workshops to attract clients.

Financial Projections: Project gradual growth with an emphasis on client retention and service diversification.


3. E-Commerce and Digital Services

Business Concept: Develop an online platform offering niche products or digital services, capitalizing on the growing e-commerce trend.

Target Market: Tech-savvy consumers and businesses looking for specialized products or services online.

Revenue Streams: Online sales, digital service subscriptions, and advertising revenue.

Marketing Strategy: Implement SEO strategies, social media advertising, and influencer partnerships to drive traffic. 

Financial Projections: Aim for scalable growth, with initial investments in platform development and marketing.


4. Renewable Energy Ventures

Business Concept: Offer renewable energy solutions such as solar panel installations, EV charging stations, and eco-friendly product retailing.

Target Market: Homeowners, businesses, and municipalities aiming to reduce carbon footprints.

Revenue Streams: Installation fees, maintenance contracts, and product sales.

Marketing Strategy: Engage in educational campaigns, attend green energy expos, and collaborate with environmental groups.

Financial Projections: Plan for long-term contracts and government incentives to support steady revenue.


5. Food and Beverage Industry

Business Concept: Open a food truck, specialty café, or restaurant offering unique and culturally diverse food options.

Target Market: Food enthusiasts seeking new culinary experiences in Vancouver's diverse food scene.

Revenue Streams: Food and beverage sales, catering services, and cooking classes.

Marketing Strategy: Utilize social media, food festivals, and local advertising to attract customers.

Financial Projections: Focus on high-traffic locations and quality offerings to ensure profitability.


6. Pet Care Services and Products

Business Concept: Provide pet grooming, boarding, and specialty pet products to meet the needs of pet owners. 

Target Market: Busy professionals, families, and elderly pet owners in Vancouver. 

Revenue Streams: Service fees, product sales, and subscription-based pet care packages.

Marketing Strategy: Engage with local pet communities, offer loyalty programs, and maintain an active online presence.

Financial Projections: Aim for steady client growth with a focus on personalized services. BPlan AI


7. Educational and Training Services

Business Concept: Establish language schools, tutoring centers, or IT training programs catering to both local and immigrant populations.

Target Market: Students, professionals, and newcomers seeking skill development.

Revenue Streams: Tuition fees, online course sales, and corporate training contracts.

Marketing Strategy: Partner with community organizations, utilize online advertising, and attend education fairs.

Financial Projections: Plan for gradual enrollment increases and course diversification.


8. Digital Marketing Agencies

Business Concept: Offer specialized digital marketing services, including SEO, social media management, and content creation.

Target Market: Small to medium-sized businesses seeking to enhance their online presence.

Revenue Streams: Monthly retainers, project-based fees, and performance bonuses.

Marketing Strategy: Showcase case studies, attend networking events, and leverage client referrals.

Financial Projections: Aim for consistent client acquisition and retention to ensure steady income.


9. Green Cleaning Services

Business Concept: Provide eco-friendly cleaning services using sustainable products for homes and offices.

Target Market: Environmentally conscious households and businesses in Vancouver.

Revenue Streams: Service fees, subscription packages, and sales of eco-friendly cleaning products.

Marketing Strategy: Highlight environmental benefits, obtain green certifications, and engage in community outreach.

Financial Projections: Focus on building a loyal customer base and expanding service areas.


10. Tour Guide and Event Planning Services

Business Concept: Offer personalized tour guide services and event planning for weddings, corporate events, and festivals.

Target Market: Tourists, corporations, and individuals seeking unique event experiences in Vancouver.

Revenue Streams: Service fees, vendor commissions, and package deals.

Marketing Strategy: Develop partnerships with local businesses, utilize online platforms, and attend trade shows.

Financial Projections: Plan for seasonal fluctuations with diversified service offerings.

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