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Repsol looking to sublet downtown Calgary office space

The downtown skyline of Calgary, Alberta at sunrise. Left is the Calgary Tower, centre is Bankers Hall and right is The Bow tower. The Canadian Press Images/Larry MacDougal

Spanish oil and gas giant Repsol SA is looking to sublet some of its downtown Calgary office space, adding to a market already swollen by energy industry cutbacks and layoffs.

Spokeswoman Berta Gomez confirms that Repsol has vacated eight of its 22 floors in Bankers Hall West over the past year and is now seeking tenants to take over its leases.

She says the space was originally leased by Calgary-based Talisman Energy, which was purchased by Madrid-based Repsol in May 2015 for about US$13 billion.

READ MORE: Nearly one third of Calgary’s office space could be empty by 2018: real estate firm

Gomez says Talisman had leased extra space for growth that didn’t occur, adding that Repsol has fewer employees in the building now than when it bought Talisman because of relocations and staff reductions.

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Barclay Street Real Estate says in a report that Calgary’s overall downtown office vacancy rate grew by 0.7 of a percentage point to 24.2 per cent in the first three months of the year.

That represents a total of just over 10 million square feet of space available for lease out of an inventory of more than 41 million square feet.

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