Summerland BC Commercial Real Estate Prices: What Downtown Office and Retail Buildings Are Selling For
Downtown Summerland's office and retail real estate market has properties selling between $123 and $270 per square foot from 2021 through 2025.
The data shows properties in below-average condition achieving $123 to $150 per square foot in 2022-2023, while average to above-average condition buildings sold for $205 to $240 per square foot in 2023-2024. Most notably, a recent sale pending for a prominent Main Street property has established a new benchmark at $270 per square foot, suggesting continued market strength in downtown Summerland's commercial core.
Transaction prices ranged from $400,000 for smaller 2,000 square foot buildings to $1,350,000 for larger properties with superior locations. The buildings analyzed include a mix of single-tenant, multi-tenant, and mixed-use properties, predominantly constructed between 1936 and 1994, offering valuable insights into how various property characteristics influence sale prices in Summerland's downtown market.
Downtown Summerland Office & Retail Building Sale Prices PSF
Sample Sale 1 - Victoria Rd N sold in March 2023 for $400,000. This 3,252 square foot mixed-use building was built in 1950 and is in below-average condition. The single-story property contains 2 units on a 4,356 square foot lot with 75% site coverage, selling for $123 per square foot.
Sample Sale 2 - Victoria Rd N sold in August 2022 for $540,000. This 3,600 square foot multi-tenant building was built in 1965 and is in below-average condition. The single-story property contains 4 units on a 5,227 square foot lot with 69% site coverage, selling for $150 per square foot.
Sample Sale 3 - Kelly Ave sold in July 2023 for $520,000. This 3,125 square foot mixed-use building was built in 1978 and is in above-average condition. The two-story property contains 2 units on a 3,006 square foot lot with 87% site coverage, selling for $166 per square foot.
Sample Sale 4 - Victoria Rd N sold in December 2021 for $980,000. This 5,750 square foot multi-tenant building was built in 1960 and is in above-average condition. The single-story property contains 2 units on an 8,712 square foot lot with 66% site coverage, selling for $170 per square foot.
Sample Sale 5 - Victoria Rd N sold in November 2024 for $410,000. This 2,000 square foot single-tenant building was built in 1977 and is in average condition. The single-story property contains 1 unit on a 2,850 square foot lot with 70% site coverage, selling for $205 per square foot.
Sample Sale 6 - Main St sold in July 2021 for $416,000. This 1,981 square foot single-tenant building was built in 1968 and is in average condition. The single-story property contains 1 unit on a 2,483 square foot lot with 80% site coverage, selling for $210 per square foot.
Sample Sale 7 - Victoria Rd N sold in May 2023 for $450,000. This 2,000 square foot single-tenant building was built in 1980 and is in average condition. The single-story property contains 1 unit on a 3,049 square foot lot with 66% site coverage, selling for $225 per square foot.
Sample Sale 8 - Main St sold in July 2022 for $550,000. This 2,350 square foot mixed-use building was built in 1936 and is in above-average condition. The two-story property contains 2 units on a 2,613 square foot lot with 48% site coverage, selling for $234 per square foot.
Sample Sale 9 - Main St sold in July 2024 for $449,000. This 1,879 square foot single-tenant building was built in 1975 and is in average condition. The single-story property contains 1 unit on a 2,178 square foot lot with 86% site coverage, selling for $239 per square foot.
Sample Sale 10 - Victoria Rd N sold in July 2023 for $720,000. This 3,000 square foot single-tenant building was built in 1994 and is in above-average condition. The single-story property contains 1 unit on a 6,534 square foot lot with 46% site coverage, selling for $240 per square foot.
Sample Sale 11 - Main St has a sale pending at $1,350,000. This 5,000 square foot single-tenant building was built in 1950 and is in average condition. The single-story property contains 1 unit on a 5,000 square foot lot with 100% site coverage, with an expected sale price of $270 per square foot.
What Impacts the Sale Price PSF of Downtown Office / Retail Buildings?
The significant price variation per square foot—reflects the complex interplay of numerous property characteristics and market conditions. Understanding these value drivers is essential for property owners, investors, and business operators seeking to make informed decisions about buying, selling, or leasing downtown commercial space.
While location is often cited as the primary determinant of real estate value, the downtown Summerland market demonstrates that multiple factors work together to influence sale prices. A below-average condition building on Victoria Road may sell for less than half the per-square-foot price of a well-maintained property with superior Main Street exposure, even when the buildings are similar in size and age. These variations underscore the importance of evaluating properties holistically rather than relying on simple per-square-foot comparisons.
The following analysis examines the key factors that impact commercial property values in downtown Summerland, drawing insights from recent market transactions and professional appraisal analysis. Whether you're considering a commercial real estate investment, planning property improvements, or evaluating your building's market position, understanding these value drivers will help you navigate Summerland's downtown commercial market more effectively.
Location & Exposure
Street frontage and visibility
Corner vs. mid-block positioning
Pedestrian and vehicular traffic patterns
Physical Characteristics
Building condition (below-average, average, above-average, good)
Age and effective age of the structure
Quality of finishes and recent upgrades
Functional layout and floor plan efficiency
Building systems (electrical, HVAC, roof condition)
Site Characteristics
Parking availability (on-site vs. street parking only)
Topography and accessibility
Building Size & Configuration
Total square footage (smaller buildings often command higher per-SF prices)
Single-tenant vs. multi-tenant configuration
Presence of additional space (mezzanines, basements, storage areas)
Number of units/demising potential
Market & Economic Factors
Interest rates and financing conditions
Market timing (transaction date impacts value)
Supply and demand dynamics in the local market
Economic trends affecting the South Okanagan region
Income-Producing Characteristics
Rental income potential (market rental rates)
Lease terms (triple-net vs. gross leases)
Tenant quality and creditworthiness
Lease duration and stability
Vacancy risk (single vs. multi-tenant)
Legal & Regulatory Factors
Zoning designation
Permitted uses under zoning
Compliance with building codes
Easements or encumbrances
Property-Specific Features
Deferred maintenance requirements
Capital improvement needs
Remaining economic life
Potential for renovation or expansion
Architectural character and curb appeal
Professional Appraisal Services for Summerland Commercial Properties
As this analysis demonstrates, accurately valuing downtown Summerland commercial properties requires in-depth knowledge of local market conditions, recent transaction trends, and the nuanced factors that drive property values in this unique South Okanagan market. The interplay between location, physical characteristics, income potential, and market timing creates a complex valuation landscape where per-square-foot prices can vary significantly between seemingly similar properties.
Whether you're purchasing commercial real estate, refinancing an existing property, settling an estate, dealing with partnership dissolutions, or simply seeking to understand your building's current market position, a professional appraisal provides the authoritative, defensible valuation you need to make confident decisions.
As an AACI-designated appraiser with extensive experience in the Summerland and South Okanagan commercial real estate markets, I provide comprehensive narrative appraisals that meet the rigorous standards of the Canadian Uniform Standards of Professional Appraisal Practice (CUSPAP).
Contact RDOS Appraisals & Consulting to discuss your commercial appraisal needs and receive a competitive fee quote for your Summerland property valuation.