Toronto Real Estate Board

Toronto Real Estate Board

September 03, 2010 09:30 ET

TREB Commercial REALTORS® Report Monthly Commercial Figures

TORONTO, ONTARIO--(Marketwire - Sept. 3, 2010) - In August, TREB Commercial Members reported 887,434 square feet of leased space, up 55 per cent from the 571,751 leased square feet recorded in August of 2009. Through the first eight months of 2010, commercial lease transactions were up 67 per cent compared to the same period in 2009.

"Economic conditions are much improved compared to 2009. Growth has occurred in most sectors of the economy, resulting in relatively steady employment growth as well. Against this backdrop, it makes sense that the demand for commercial space increased during the first eight months of 2010," said Commercial Council Chair Larry Purchase.

By category, TREB Commercial Members leased 803,134 square feet of industrial space, up 63 per cent over last year's total of 492,163 square feet. In addition 41,028 square feet of commercial space was leased, down 20 per cent from the 51,332 figure recorded in August of 2009. Finally, 43,272 square feet of office space was leased – up 53 per cent from the 28,256 square feet recorded during the same month last year.

Lease rates were mixed in August. Industrial space in all size categories leased for an average of $5.34 per square foot net (sfn), up two per cent from $5.21/sfn recorded in August of 2009. The average lease rate for commercial space rose 19 per cent to $23.47/sfn from $19.75/sfn reported during the same month last year. Office space leased for an average of $9.70/sfn – a 21 per cent decrease from the average of $12.34/sfn reported last August.

Sales Market Highlights

TREB Commercial Members recorded 63 sales of IC&I properties in August, including 35 industrial buildings of all size categories. The average sale price was $101.77 per square foot. This compares to an average selling price of $83.13 per square foot derived from non-MLS sources. The 28 commercial/retail sales recorded during this same time-frame averaged $141.60 per square foot.

   
SUMMARY OF AUGUST 2010 LEASE TRANSACTIONS      
   
                                   
Leased Space 2010   2009   % Change   Avg. Lease Rate(1)     2010     2009   % Change
                                   
Industrial 803,134   492,163   63 %   Industrial   $ 5.34   $ 5.21   2 %
Commercial 41,028   51,332   -20 %   Commercial   $ 23.47   $ 19.75   19 %
Office 43,272   28,256   53 %   Office   $ 9.70   $ 12.34   -21 %
Total 887,434   571,751   55 %   (1)Average lease rates per square foot net (sfn)      
   
SUMMARY OF AUGUST 2010 SALE TRANSACTIONS      
   
                                   
Sales 2010   2009   % Change   Leased Price     2010     2009   % Change
                                   
Industrial 35   24   46 %   Industrial   $ 101.77   $ 91.66   11 %
Commercial 28   26   8 %   Commercial   $ 141.60   $ 58.34   143 %
Total 63   57   11 %                      

Complete copy of the Commercial Realty Watch at www.TREBCommercial.com.

Greater Toronto REALTORS® are passionate about their work. They adhere to a strict Code of Ethics and share a state-of-the-art Multiple Listing Service. Serving over 30,000 Members in the Greater Toronto Area, the Toronto Real Estate Board is Canada's largest real estate board. Greater Toronto Area open house listings are now available on www.TorontoRealEstateBoard.com.

Get the latest news and information from TREB

www.twitter.com/TREB_Official

www.facebook.com/TorontoRealEstateBoard

www.youtube.com/TREBChannel

Contact Information

  • For Media/Public Inquiries:
    Toronto Real Estate Board
    Mary Gallagher, Manager Media Relations
    Office: (416) 443-8158
    maryg@trebnet.com