Toronto’s retail real estate market is becoming more balanced as demand increases despite high interest rates and a decrease in net absorption, says a new JLL report.
The commercial real estate service firm anticipates that landlords should be able to maintain stable occupancy rates as low construction completions create more competition for new retail space.
Despite experiencing ongoing challenges, the downtown office market is having a positive effect on retail as more workers return to the workplace instead of working from home. New office amenities, designed to maintain rent levels, and a flight to quality are also aiding the retail property sector.
Retail real estate market stability is also being driven by transit and infrastructure projects, local governments’ focus on new high-density, multi-family housing and the province’s emphasis on high-density developments in strategic growth areas, said JLL in a separate July report.
Monte Stewart serves as Content Director - Canada for Connect Commercial Real Estate.
Based in Vancouver, British Columbia, Monte provides daily news coverage of major Canadian commercial real estate markets, including Vancouver, Toronto, Montreal and Calgary. He has written about the real estate sector for various media outlets and Avison Young since the early 2000s.
In addition, he has covered sports, general news and business for several leading wire services and publications, including The Canadian Press, The Associated Press, The Calgary Herald, The Globe and Mail, Research Money, The Daily Oil Bulletin, Natural Gas World and The Toronto Star.
Monte is active in his community as a youth basketball coach and raises funds for such charitable causes as Movember.