Lots of cannabis real estate predicted for Kelowna

Kelowna is expected to be a hot spot for cannabis commercial real estate, according to a new report from Remax Canada.

The company's regional vice-president, Elton Ash, says the cannabis industry is absorbing the existing industrial spaces and development lands in Kelowna, contributing to a rise in lease rates.

He says the City’s high application costs and strict rezoning processes likely won’t have an adverse effect on the local cannabis retail market.

 “There obviously will be businesses and people that will jump in and fail,” says Ash. “There will be others that will jump in and succeed amazingly. It ultimately boils down to business skills and an understanding of the retail market.”

Remax says sales of commercial real estate has decreased 8-percent, year over year, but with the approval of cannabis retail licenses expected to be very competitive - it's anticipated prices will continue rising.

In total, they’ve determined that 900 spaces in Kelowna are eligible for a potential cannabis retial location.

Edmonton is another city poised to become a hot market for cannabis retail space.