BC Commercial Leading Indicator Points to Strong Growth Ahead
Vancouver, BC – August 28, 2012. The BCREA Commercial Leading Indicator (CLI) continued to trend higher in the second quarter of 2012, rising 0.8 points to 112.6 from a revised level of 111.8 in the first quarter. On a year-over-year basis, the CLI is now 3.7 per cent above its level in the second quarter of 2011.
"The trend in the CLI continues to signal strong growth in the BC commercial real estate market,” said Brendon Ogmundson, BCREA Economist. “The CLI’s trend has continued with a steep rise from early 2011, reflecting a pick-up in employment numbers as well as calmer financial market conditions."
This quarter’s increase in the CLI was driven entirely by the employment and financial components of the index while some economic activity measure, such as retail sales, have trended lower.
“As global economic fears quiet down and the BC economy continues to produce stronger job growth, we expect to see improvements in economic activity,” added Ogmundson.