GTA Commercial REALTORS® Report Commercial Market Figures [Infographic]

TORONTO– Toronto Real Estate Board (TREB) Commercial Division Members reported lease transactions accounting for almost 3.5 million square feet of industrial, commercial/retail and
office space during the Third Quarter of 2012. This result was down from slightly more than 3.7 million square feet leased in the Third Quarter of 2011.

The year-over-year change in average lease rates was mixed. Based on transactions for which pricing was disclosed, the average industrial lease rate was up compared to last year whereas average commercial/retail and office lease rates were down.

“The industrial market segment accounted for almost three-quarters of total leased space in the Third Quarter. Average lease rates were up for all industrial size categories reported by TREB. If growth in average industrial lease rates continues in the Fourth Quarter and into 2013, it would suggest that market conditions are tightening with industrial firms in southern Ontario more confident about future growth,” said TREB Commercial Division Chair Cynthia Lai.

Commercial Division Members reported 214 combined commercial sales in the Third Quarter – down 18 per cent from 262 sales during the same period in 2011. The average selling price was down for all three categories, but a comparison of transactions suggests that the decline was more the result of a different mix of property types sold this year compared to last, especially in relation to commercial/retail and office space.

“The mix of sold office space shifted towards larger properties in the Third Quarter of this year. Generally speaking, larger office properties are associated with a lower price per square foot. As a result, when larger properties account for a greater proportion of total transactions the overall average lease rate tends to dip, all else being equal,” said Lai.

“The dip in the in the average commercial/retail sale price was also driven by sales of larger properties. Last year the mix and use of larger commercial/retail properties sold dictated a higher price compared to this year. For transactions in smaller size categories, average selling prices were more comparable between 2012 and 2011,” continued Lai.

Third Quarter 2012: All Commercial Lease Transactions

Total Leased Space for All Lease Transaction Types on TorontoMLS

Total Leased Square Feet

Q3 2012

Q3 2011

% Change

Industrial

2,561,000

2,756,443

-7.1%

Commercial

452,425

492,804

-8.2%

Office

468,027

479,646

-2.4%

Total

3,481,452

3,728,892

-6.6%

Third Quarter 2012: Per Square Foot Net Commercial Leasing Summary

Lease Transactions Completed on a Per Square Foot Net Basis with Pricing Disclosed on TorontoMLS

Leased Sq. Ft. (Price Disclosed, Per Sq.Ft. Net)

Avg. Lease Rate (Price Disclosed, Per Sq.Ft. Net)

Q3 2012

Q3 2011

% Change

Q3 2012

Q3 2011

% Change

Industrial

1,339,922

2,091,442

-35.9%

Industrial

$5.05

$4.74

6.5%

Commercial

235,105

191,682

22.7%

Commercial

$14.36

$20.37

-29.5%

Office

300,511

237,100

26.7%

Office

$10.79

$10.95

-1.5%

Total

1,875,538

2,520,224

-25.6%

Third Quarter 2012: All Commercial Sale Transactions

Total Number of Sales on TorontoMLS

Total Sales

Q3 2012

Q3 2011

% Change

Industrial

101

124

-18.5%

Commercial

74

94

-21.3%

Office

39

44

-11.4%

Total

214

262

-18.3%

Third Quarter 2012: Commercial Sales Completed with Pricing Disclosed on TorontoMLS

Sales (Price Disclosed)

Avg. Sale Price Per Sq. Ft. (Pricing Disclosed)

Q3 2012

Q3 2011

% Change

Q3 2012

Q3 2011

% Change

Industrial

101

95

6.3%

Industrial

$70.18

$78.29

-10.4%

Commercial

74

74

0.0%

Commercial

$116.11

$189.70

-38.8%

Office

39

37

5.4%

Office

$146.05

$229.64

-36.4%

Total

214

206

3.9%



Greater Toronto REALTORS® are passionate about their work. They are governed by a strict Code of Ethics and share a state-of-the-art Multiple Listing Service. Over 35,000 TREB Members serve consumers in the Greater Toronto Area. The Toronto Real Estate Board is Canada’s largest real estate board.

Media Inquiries:
 Mary Gallagher,
Senior Manager Public Affairs
 (416) 443-8158
maryg@trebnet.com

No comments:

Get Real Estate Tips

About Us

Get Free Email Updates to your Inbox!

Follow Us On Social Media

REAL ESTATE SNATCH is the independent real estate blog of Samir Safadi, Sales Representative of West-100 Metro View Realty Ltd, brokerage it is dedicated to covering Real Estate News, digital culture, social media and technology, providing analysis of trends, Market Data , reviewing new development. Offering Real Estate services resources and guides. Services are provided to prospective buyers and sellers of real estate by Samir Safadi, Sales Representative, West-100 Metro View Realty Ltd, brokerage, duly registered in the province of Ontario, under Real Estate and Business Brokers Act, 2002 (REBBA 2002) and Member in good standing with

 

 

©Copyright 2009-2022 REAL ESTATE SNATCH All Rights Reserved Registration on or use of this site constitutes acceptance of our

 

User Agreement | Disclaimer | Comment Policy | Privacy Policy | About Us | Contact Us | Site Map

Search This Blog