TORONTO, ONTARIO--(Marketwired - Nov. 3, 2016) - Toronto Real Estate Board President Larry Cerqua announced that TREB Commercial Network Members reported 365,659 combined square feet of industrial, commercial/retail and office space leased through TREB's MLS® System in October 2016, on a per square foot net basis with pricing disclosed. This result represented a 17.3 per cent decline compared to October 2015.

The industrial market segment accounted for approximately 85 per cent of space leased. The average lease rate was $7.02 per square foot net, which represented an increase over the average from October 2015. Average lease rates for commercial/retail and office space were also up year-over-year.

"Commercial leasing and sales activity can be volatile on a month-to-month basis. Many deals are complex and can take a significant amount of time to go firm. It is also important to note that businesses and investors continue to face a certain degree of economic uncertainty, which can influence the decision to purchase or lease space," said Mr. Cerqua.

There were a combined 59 industrial, commercial/retail and office property sales reported through TREB's MLS® System in October 2015. This result was down from 69 transactions reported by Commercial Network Members in October 2015.

Annual changes in average sale prices, on a per square foot basis for transactions with pricing disclosed, were mixed. Average industrial and office sale prices were down on a year-over-year basis, whereas the average commercial/retail price was up in comparison to October 2015. Both changes in market conditions and changes in the mix of properties sold can influence average selling prices from one year to the next.

October 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
Oct. 2016 Oct. 2015 % Change Oct. 2016 Oct. 2015 % Change
Industrial 310,242 326,653 -5.0% Industrial $7.02 $5.64 24.6%
Commercial 30,407 45,795 -33.6% Commercial $22.41 $19.47 15.1%
Office 25,010 69,663 -64.1% Office $13.81 $12.86 7.4%
Total 365,659 442,111 -17.3%

October 2016: Commercial Sales Completed with Pricing Disclosed on TorontoMLS

Sales (Price Disclosed) Avg. Sale Price Per Sq. Ft. (Pricing Disclosed)
Oct. 2016 Oct. 2015 % Change Oct. 2016 Oct. 2015 % Change
Industrial 20 24 -16.7% Industrial $99.52 $152.28 -34.6%
Commercial 24 32 -25.0% Commercial $221.79 $159.76 38.8%
Office 15 13 15.4% Office $218.16 $297.47 -26.7%
Total 59 69 -14.5%
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 46,000 residential and commercial TREB Members serve consumers in the Greater Toronto Area. TREB is Canada's largest real estate board.

Contact Information:

Toronto Real Estate Board
Media Inquiries:
Mary Gallagher
Senior Manager Public Affairs
(416) 443-8158