Toronto’s commercial sector is continuing to grow with real estate agents reporting a “substantial” rise in leased space in the third quarter of 2016.
Toronto Real Estate Board’s data shows a 34.8 per cent increase year-over-year with a combined 6,592,818 square feet of industrial, commercial/retail and office space leased, although the 2015 figures were sharply lower than 2014.
“The Greater Toronto Area has benefited from a diverse economic base and, as a result, the regional economy has been relatively strong with the unemployment rate generally trending lower,” commented TREB president Larry Cerqua.
“This may be why we experienced an uptick in leasing activity. However, there remains some uncertainty in the economic outlook, especially as it relates to exports, and this could impact commercial leasing and sales activity moving forward,” he added.
The number of combined industrial, commercial/retail and office property transactions was down in Q3 2016 compared to a year earlier, with 216 properties changing hands versus 327 properties in Q3 2015; however, average selling prices proved resilient.