â€œIf the first two months of this year are any indication, with more than $1 billion in trades either underway or completed, we are in for a similar if not better performance in 2011,â€ said Bill Argeropoulos, vice president and director of research for Avison Young in Canada.
Retail was the single most actively traded asset class in the Greater Toronto Area (GTA). With $2.1 billion in retail property sales in 2010, it was a 249% increase from 2009, and surpassed the previous high in 2005 of $1.7 billion.
A key reason was the sale of Erin Mills Town Centre, at a price of $370 million and reported cap rate of 5.8%, to the Ontario Pension Fund.
Office sales were at $1.7 billion, as transactions in downtown remained rare, said the report. It was nearly double the 2009 total of $990 million.
Land, multi-residential, and industrial sectors all showed significant improvements as well in Toronto. Industrial was up 50% from 2009, multi-residential was up 69%, and land sales activity rose 16%.
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Avison Youngâ€™s winter 2010-2011 Greater Toronto Area Investment Review recorded $7.4 billion in commercial real estate transactions during 2010, nearly double the $4.2 billion recorded a year before. That was especially seen in the retail sector, reversing four years of declines.