Q3 2021 Industrial Market Report
Greater Toronto Area (GTA) industrial markets continued to outperform other asset classes this quarter as average net asking rents increased $0.38 quarter over quarter to $11.08 per square foot. With record levels of absorption claiming over 8.6M SF of space since the beginning of the year, availability rates have once again dropped from 1.3% in Q2 to 1.1% in Q3.
The third quarter of 2021 saw 1,966,602 SF of new supply delivered across GTA markets with another 1,874,134 SF expected to be delivered before the end of the year. Despite this incoming supply and the approximate 11.7M SF currently under construction across the GTA, many experts expect markets to remain around a 1% vacancy for the foreseeable future. This is due to the combination of intense demand, expensive construction costs, and high land acquisition costs.
Read our Market Report for more details.