The Toronto Commercial market cooled somewhat in July, with the amount of space leased through the Toronto Real Estate Board MLS system down 48% to 596,516 sq. ft. from June’s figure of 1,145,462 sq. ft. However, Commercial Council chair Dennis Lunow cautioned against reading too much into the decline.
“Firstly, the Commercial market is like the Residential market in that activity tends to slow in the summer. Secondly, we have only just started to collect and measure the amount of Industrial, Commercial, and Office space that gets transacted through our system. At the moment, we have no idea what a “typical” month should look like. Once we have some benchmarks in place, though, we expect the Commercial Realty Watch to be an excellent tool for tracking trends in the sector.”
Leasing Market Highlights In July, 550,224 sq. ft. of industrial space changed hands through MLS. Prices in all size categories ranged from $4.70 to $4.90 per square foot net, almost unchanged from June. During the same month, 34,870 sq. ft. of office space was leased through the Board, mostly in the 0-5,000 sq. ft. category. Prices ranged from $6.70 to $7.00 per square foot net.
Sales Market Highlights The TREB MLS system recorded 53 commercial sales during July, with 38 of these being in the industrial category. The bulk of these sales (28) were in the 0-5,000 sq. ft. range, with the average value being $60.98 persquare foot net.