Volume 68 – Etobicoke.
Welcome to another installment of the 2020 Newsletter, designed to bring you local relevant information about what’s happening in the Etobicoke office and industrial property market.
In May 2020 there was 4 transaction’s (4 industrial) in Etobicoke, for a value of $32,667,018. This is down approximately 62% in aggregate value compared to May 2019 where there were 5 transactions (3 Industrial, 1 office, 1 residential land, 1 commercial land) for a total value of $12,325,000.
The COVID-19 pandemic continues to have a wide range of impact on political, social and economic infrastructure. Within the Canadian Commercial Real Estate (CRE) sector, investors, landlords and occupiers are all assessing impacts, adjusting operations, and building and executing contingency plans to support their people and their businesses.
One thing is certain, the well of real estate investors (and users) are still active during this time and are searching for substantial opportunities in the GTA. With the current uncertainty in the office asset class, demand remains for investment industrial buildings, single and multi-tenant. In addition, many are looking for proper development land sites for industrial development (new or expansion opportunities) and residential development for low or high rise.
Each week we will highlight a different city in the GTA West. Next week is Mississauga.
Contact me to learn more about the Etobicoke Market and how we can market your asset for optimum returns.
Canada Commercial Tenant Survey Results
A recent Rent Collection and Relief Status report resurveyed 7,100 tenants across Canada in May as a follow-up to an April survey that showed 21% of retail, industrial and office tenants requested rent relief amid the ongoing financial impact of the COVID-19 pandemic.
New data from Colliers Canada reveals that 16% of Canadian commercial tenants paid no rent in May 2020 as rent collection continues to decrease during the COVID-19 pandemic. In addition, the company’s latest report shows that 39% of tenants who asked for rent relief in April did not make any payments for May, while 19% provided partial payments and 42% made full payments.
Canada Emergency Commercial Rent Assistance (CECRA) Program
The Government of Canada opened applications for the CECRA program to provide financial support for Canadian small businesses on May 25, but it will likely take until July for owners and tenants to know where they stand with the program. Until they learn more about this program (and its effects) many tenants and owners have been in a holding pattern regarding rent payments and deferral discussions.
Many landlords are taking proactive action to find mutually beneficial solutions for themselves and their tenants.
Cost Containment solutions
As businesses begin to reopen, Colliers has programs in place that can assist tenants and landlords by identifying additional cost effective operational support to help meet new hygiene, physical distancing, and government requirements.
37 Bethridge Road, Etobicoke (Industrial)
» Sale Date: May 29, 2020
» Price: $19,075,000
» Building Size: 128,256 sq ft
» Price per sf: $149
172 Belfield Road, Etobicoke (Industrial)
» Sale Date: May 20, 2020
» Price: $9,800,018
» Building Size: 26,307 sq ft
» Price per sf: $373
5 Canmotor Avenue, Etobicoke (Industrial)
» Sale Date: May 1, 2020
» Price: $2,600,000
» Building Size: 10,901 sq ft
» Price per sf: $239