Greater Toronto REALTORS(R) Report Commercial Market Figures

TORONTO, ONTARIO--(Marketwired - Feb. 3, 2016) - Toronto Real Estate Board President Mark McLean announced that TREB Commercial Network Members reported a combined 240,606 square feet of industrial, commercial/retail and office space leased through TREB's MLS® System in January 2016, for properties where pricing was disclosed on a per square foot net basis. This result was down from 349,270 square feet of leased space in January 2015.

Industrial properties accounted for approximately 60 per cent of space leased.

The month of January is often quite volatile from one year to the next in terms of the types and sizes of properties that are leased. For this reason, average lease rates for reported transactions varied markedly between January 2015 and January 2016, with the average industrial lease rate up substantially year-over-year and the average commercial/retail lease rate down substantially.

"The way in which the GTA commercial real estate market unfolds in 2016 will depend a lot on how the regional economy adapts to the lower value of the Canadian dollar. To date, we have not seen a full resurgence in the goods production sector, particularly as it relates to exports. If export-related production starts to increase, it is possible that commercial sale and leasing activity could increase this year as well," said Mr. McLean.

There were 40 combined industrial, commercial/retail and office sales reported in January 2016. This result was down compared to 53 sales reported for the same period in 2015.

Similar to the leasing market, sales results for the month of January can be quite volatile, which can periodically lead to larger swings in average sale prices on a per square foot basis. As the number of transactions picks up through the first quarter, in line with the recurring seasonal trend, the volatility in average selling prices is expected to diminish.

January 2016: Per Square Foot Net Commercial Leasing Summary

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

	Leased Square Feet						Average Lease Rate
	Jan. 2016	Jan. 2015	% Change				Jan. 2016	Jan. 2015	% Change
Industrial	142,527	268,799	-47.0	%		Industrial	$6.77	$5.20	30.3	%
Commercial	68,249	42,288	61.4	%		Commercial	$14.16	$19.17	-26.1	%
Office	29,830	38,183	-21.9	%		Office	$14.74	$13.71	7.6	%
Total	240,606	349,270	-31.1	%

January 2016: Commercial Sales Completed with Pricing Disclosed on TorontoMLS

Sales (Price Disclosed)						Avg. Sale Price Per Sq. Ft. (Pricing Disclosed)
	Jan. 2016	Jan. 2015	% Change				Jan. 2016	Jan. 2015	% Change
Industrial	13	26	-50.0	%		Industrial	$64.23	$86.11	-25.4	%
Commercial	17	18	-5.6	%		Commercial	$194.18	$208.34	-6.8	%
Office	10	9	11.1	%		Office	$222.90	$313.53	-28.9	%
Total	40	53	-24.5	%

Source: TREB

NOTE: Some table totals may differ due to conversion and rounding.

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 43,000 residential and commercial TREB Members serve consumers in the Greater Toronto Area. TREB is Canada's largest real estate board. www.TREBhome.com