The Toronto Real Estate Board Commercial Members say a struggling market should start to turn around in the new year, based on GDP and employment growth.
In figures released Sunday, the TREB says prices were mixed in November. Industrial space in all size categories leased for $5.69 per square foot net (sfn), up three per cent from the $5.51 per sfn recorded in November of 2008. Office space traded for $12.83 per sfn, up 27 per cent from the $10.10 per sfn figure recorded last November.
However, prices for commercial space fell nine per cent to $16.65 per sfn from the same time in 2008.
The TREB says there was 468,350 square feet of leased space in November, down 58 per cent from the 1,113,195 square feet recorded in November of 2008.
Commercial Council Chair Garry Lander sees reason for optimism with the difficulties of 2009 in the past.
"While both the monthly and year-to-date figures are considerably below 2008 levels, recent economic news, including third quarter GDP growth and November employment gains, suggests that the health of the commercial real estate market should improve in 2010."