TREB Releases Commercial Market Figures as Reported by GTA Realtors®
TORONTO, Oct. 16, 2019 (GLOBE NEWSWIRE) -- Toronto Real Estate Board President Michael Collins announced that TREB Commercial Network Members reported 6,295,432 square feet of leased space in Q3 2019 for all lease transactions types across the industrial, commercial/retail and office market segments. This result represented an 8.7 per cent decline compared to Q3 of 2019.
Year-over-year changes in average per square foot net lease rates, for transactions with pricing disclosed, were mixed in Q3 2019. The average commercial/retail lease rate rose to $26.75 in Q3 2019 from $25.71 in Q3 2018. The industrial lease rate was down to $7.43 from $7.80, and the office lease rate declined from $14.89 in Q3 2018 to $13.07 in Q3 2019.
It is important to note that annual changes in average lease rates can be the result of changing market conditions and changes in the mix of properties leased from one year to the next, in terms of location, size, mix and other related variables.
“The Greater Toronto Area continues to be a key centre of economic activity in North America, as evidenced by our low unemployment rate, strong population growth and consistently high standing in global city rankings. Barring any large-scale economic shock, the GTA should continue to see strong investment in all segments of commercial real estate moving forward,” said Mr. Collins.
Total commercial sales amounted to 222 in Q3 2019, down by 73 transactions compared to 295 sales reported in Q3 2018. Year-over-year declines were noted across all market segments.
|
Third Quarter 2019: All Commercial Lease Transactions | |||
|
Total Leased Space for All Lease Transaction Types on TorontoMLS | |||
| Total Leased Square Feet | |||
| Q3 2019 |
Q3 2018 |
% Change |
|
| Industrial | 4,469,972 | 5,105,386 | -12.4% |
| Commercial | 714,646 | 663,497 | 7.7% |
| Office | 1,110,814 | 1,124,973 | -1.3% |
| Total | 6,295,432 | 6,893,856 | -8.7% |
|
Third Quarter 2019: Per Square Foot Net Commercial Leasing Summary | |||
|
Lease Transactions Completed on a Per Square Foot Net Basis with Pricing Disclosed on TorontoMLS | |||
| Average Lease Rate | |||
| Q3 2019 |
Q3 2018 |
% Change |
|
| Industrial | $7.43 | $7.80 | -4.7% |
| Commercial | $26.75 | $25.71 | 4.1% |
| Office | $13.07 | $14.89 | -12.2% |
|
Third Quarter 2019: All Commercial Sale Transactions | |||
|
Total Number of Sales on TorontoMLS | |||
| Total Sales | |||
| Q3 2019 |
Q3 2018 |
% Change | |
| Industrial | 80 | 112 | -28.6% |
| Commercial | 96 | 127 | -24.4% |
| Office | 46 | 56 | -17.9% |
| Total | 222 | 295 | -24.7% |
|
Third Quarter 2019: Commercial Sales Completed with Pricing Disclosed on TorontoMLS | |||
| Avg. Sale Price Per Sq. Ft. (Pricing Disclosed) | |||
| Q3 2019 | Q3 2018 | % Change | |
| Industrial | $186.07 | $157.18 | 18.4% |
| Commercial | $170.53 | $327.07 | -47.9% |
| Office | $279.98 | $241.85 | 15.8% |
| Source: TREB | |||
| NOTE: Some table totals may differ due to conversion and rounding. | |||
Media Inquiries:
Mary Gallagher, Senior Manager Public Affairs
maryg@trebnet.com
TREB is Canada’s largest real estate board. Over 54,500 residential and commercial TREB Members serve consumers in the Greater Toronto Area. 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®.
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