Remax: Ontario Industrial Shortage Could Spill into Newfoundland
Ontario’s industrial-property supply shortage could spill into Newfoundland and Labrador, says Remax.
If Ontario’s industrial supply remains tight, conditions would trigger a shortage of suitable properties in Newfound and Labrador, said the company in a blog post.
“With companies being priced out of the market or unable to find supply, the belief is that firms and investors would extend their perimeter for spaces like distribution and warehousing facilities to other provinces, especially in an affordable jurisdiction like Newfoundland and Labrador.”
An industrial pipeline of 14 million square feet in Ontario is insufficient, where it is estimated that 45 msf would need to be delivered just to achieve a 5% availability rate.
If Ontario’s conditions persist, they would bolster the expansion of industrial facilities in the Maritimes, including St. John’s, Newfoundland’s capital. According to Remax, industrial is currently the most robust asset class in St. John’s.
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.