The last three months of 2019 provided further momentum for the Greater Toronto Area’s commercial real estate market.
A new report from Urbanation shows total sales value increased 35% to $6.7 billion while the number of sales was up 19% to 420. Year-over-year, the quarter beat 2018 by 11% in sales volume and by 49% in value.
Year-over-year gains in Q4-2019 were experienced by rental apartments (+$1.4 billion), office buildings (+$753 million), industrial (+$291 million) and commercial land (+$96 million) in Q4-2019.
The strength of the market in the fourth quarter helped 2019 as a whole grow 4% year-over-year to total sales value of $22.3 billion from a 2% increase in sales to 1,423.
The strong GTA commercial market in 2019 supports an outlook by CBRE that 2020 could be a stellar year for Canada’s CRE market.
By sector, annual gains were experienced by:
- commercial land ($844 million; + 64%)
- rental apartments ($1.2 billion; +51%)
- industrial ($741 million; +24%)
- apartment sites ($446 million; +15%)
- office buildings ($209 million; +4%).
Annual declines were experienced by:
- residential lots (-$36 million; -5%)
- retail (-$267 million; -15%)
- rural land (-$61 million; -18%)
- residential land (-$1.3 billion; -56%)
Are you looking to invest in property? If you like, we can get one of our mortgage experts to tell you exactly how much you can afford to borrow, which is the best mortgage for you or how much they could save you right now if you have an existing mortgage. Click here to get help choosing the best mortgage rate