REGINA, Sask. — Regina’s office vacancy rate is showing signs of decline.
A report from Colliers at Regina's city council meeting on Wednesday indicates the city’s downtown vacancy rate sits at 12.56 per cent as of the second quarter of 2026.
“This is really due to a lot of companies giving up space or finding efficiencies using work from home,” said Colliers managing director Ryan Babey.
The fourth quarter of 2024 saw the downtown vacancy rate at 15 per cent, while vacancy rates during the pandemic rose as high as 18.3 per cent in the fourth quarter of 2021.
“So after years of dealing with COVID-19, companies are now focusing on employee satisfaction and better ways of collaboration,” noted Babey.
But there has also been a shift in “flight to quality,” as Babey describes it.
“There’s an opportunity to locate in better buildings with more amenities, and that’s allowed some businesses to make adjustments and provide their staff with better options when they come to work, whether that’s restaurants near their office space, gyms inside the building or things like that. The one thing occupiers or tenants have to do is give their employees a reason to want to be in the office.”
However, limitations still remain on attracting workers into the office, said Babey.
“Paying $200 a month just to park at work when you can work from home, that’s one of those give-and-takes. People don’t want to pay for parking, and who would? We’re like any other city where there isn’t enough parking for every person downtown.”
He suggested faster transit, including bus lanes, could improve conditions for workers in the office, but noted there are limits.
“The size of the city and maintaining those types of assets are difficult. I don’t think it’s something we can necessarily support, but the City of Regina has done what it can to increase bus transit, which is our primary form of public transit and probably what we’re going to see for the foreseeable future.”
City council on Wednesday will also consider allowing medium-sized office spaces in a section of Harbour Landing.
Regina typically allows no office space outside of its downtown unless a potential hub can be built with transit and walkable access.
Babey said many wish the rule wasn’t in place, but it is required for a strong downtown.
He also said companies want choice, and offices outside the downtown may offer more benefits.
Looking ahead, Babey said Colliers is predicting a downward trend in downtown vacancy rates in the coming weeks, following steady growth.
“We view this market as organic growth. It’s existing businesses growing, rather than huge chunks of space being taken up by a new-to-market major occupier coming to town. As Saskatchewan continues to grow, its population has generally seen slow and steady growth.”
