GTA Industrial Real Estate Landscape
In the first few months of 2016, Canada's economy continued to be challenged by global oil prices that have plummeted to historic lows and a currency that has declined significantly against the US dollar. Those provinces whose life-blood is the oil industry-Alberta, Newfoundland and Labrador, and Saskatchewan to a somewhat lesser degree-are suffering these circumstances most sharply. Some economists foresee the Alberta and Newfoundland and Labrador economies shrinking in 2016 (for the second consecutive year) and unemployment rates continuing to escalate.
- Overall Greater Toronto Area (GTA) availability rate drops to 4.0%
- Industrial development boom in GTA West continues
- Tightening market may spur increase in rental rates for Class "A" distribution space
Industrial Market Overview
The GTA has a total building inventory of approximately 867 million square feet distributed amongst approximately 17,000 buildings. In the GTA as a whole, the overall availability rate currently stands at a 4.0%, down from 4.5% at the same time last year and as low as it has been for the past few years.
NKF Devencore, Industrial Market Study - Greater Toronto Area - Spring 2016