Does Cryptocurrency Have A Place In Commercial Real Estate?
July 2, 2019
Calgary landlords have recently discovered a new method to lure tenants into their vacant buildings in Calgary’s downtown. If the incentive of affordable spaces isn’t enough, maybe paying through cryptocurrencies will top the cake?
Enviable,Yet Empty
Calgary’s vacancy rate has increased dramatically since oil prices plummeted in 2014. Before the recession, new shiny office spaces popped up all around downtown. They’re modern, functional, enviable, and should be prime real estate, if not for the current market conditions.
Many have pondered what to do to increase tenancy, including our team. Among numerous creative solutions brought to the table, we wonder if new methods of payments could help amidst the continued recession?
When dealing in cryptocurrency, what is the true cost of renting office space for potential tenants?
Cryptocurrency
In Calgary, rental company Barclay Street is offering commercial real estate with the option for tenants to pay in cryptocurrency; bitcoin, ether, or litecoin rather than the Canadian dollar.
Cryptocurrencies are known for being eruptive, reaching high values and extreme lows in less time compared to the Canadian dollar. These coins fluctuate 10% or more than the Canadian dollar every day, but despite the risk, landlords like Barclay Street are innovating to remain competitive.
From crypto, to artificial intelligence, and the cloud, in 2019 being an early-adopter is what the digital economy is all about. Working with entrepreneurs and business leaders we know risk is required for reward and we commend Barclay on their innovative practices.
References
CBC Calgary Here’s what a 27.7% vacancy rate looks like in downtown Calgary
Cryptocurrency could be ‘innovative tool’ for Calgary office vacancy problem, says landlord