Office Space and Leasing News – February 2010

Toronto commercial real estate sinks
2009 marked the worst year in a decade, although the fourth quarter reflected a sharp rebound.
Globe

GTA 2009 property market weakest in a decade - Realnet Canada

After a weak first half of the year, investment activity in the GTA property markets began to recover in the third quarter and continued to rally in the fourth quarter of 2009. Notwithstanding the strong finish, annual results of 990 transactions representing $5.4 billion of investment volume made 2009 the region’s weakest year of annual investment activity in over a decade.

Realnet News Release Mon Jan 18 2010 – Globe and Mail

Construction of non-residential buildings down in fourth quarter of 2009 - Statistics Canada

Investment in non-residential construction fell in the last three months of 2009. Statistics Canada says $10.2 billion was invested in the fourth quarter. That’s down 2.5 per cent from the third quarter of 2009 and 7.2 per cent below the fourth quarter of 2008, which marked the beginning of a global credit crisis. The decline in non-residential construction was primarily in the commercial sector, and to a lesser extent industrial buildings.

Canadian Press Mon Jan 18 2010 – The Exchange

Markham’s bold proposal is suburbia’s salvation

The land-use rebellion now unfolding in Markham is another skirmish in the war against the development industry. At stake is who controls growth – government or industry? Though some would have us believe that the end of suburbia represents a clash of cultures, an attack on middle-class virtues and market infallibility, it has more to do with wresting public powers from private hands.

Toronto Star Mon Jan 18 2010

Foreign real estate investors park cash in Canada – Association of Foreign Investors in Real Estate

Foreign investors looking for global real estate investments have ranked Canada among the top three countries to park their money. The U.S. and Germany were in first and second place, but Canada ranked third in the survey for providing the most “stable and secure” investment by the Association of Foreign Investors in Real Estate (AFIRE) released Monday. Last year Canada placed sixth.

Toronto Star Wed Jan 20 2010

Cash-laden trusts lift commercial real estate

Well-financed real estate investment trusts that hoarded cash during the recession are lifting the commercial property sector out of one of its worst slumps in a decade. Industry tracker RealNet Canada said $5.4-billion was spent on 990 transactions in the Greater Toronto Area, down from $12.5-billion in 2007, the industry’s best year.

Globe and Mail Tue Jan 19 2010

Why 2010 may be Year of the REIT

They represent only a fraction of Canada’s publicly traded companies, but 2010 is shaping up as the Year of the Real Estate Investment Trust for investors seeking higher yields. These funds buy income-generating assets such as shopping centres, office towers and hotels and then pay their unit holders distributions from the cash the properties spin out.

Globe and Mail Fri Jan 22 2010

Buying a small, income-producing property

The timing could be right for small investors to get into the commercial real-estate market, according to some real-estate and investment professionals. There are still areas in Canada where good buys on small, income-producing properties – such as a store with apartments above – are possible, due to low interest rates and the rough economic climate. It’s time to think about owning the premises for your business.

Globe and Mail Mon Jan 25 2010

Whiterock to buy GTA office portfolio – Whiterock REIT

Whiterock REIT says it has reached an agreement to purchase a $214-million portfolio of office properties in the Toronto area. The properties include West Metro Corporate Centre, 2810 Matheson Blvd., and Valhalla Executive Centre, which consist of a total of 1.1 million square feet in seven multi-tenant office buildings along Highway 427, Whiterock said Tuesday.

Canadian Business Wed Jan 27 2010 – Canada News Wire – Wall St. Journal

Colliers 2009 Q4 Capitalization Rate Report – Colliers International

Market sentiment has indeed improved. The 2009 year was the worst of the decade for the real estate investment industry with a near global collapse in the banking sector save for Canada. Now, a new decade has begun and there is more optimism and a stronger footing than we have seen since Q3 2008 in the primary Canadian markets.

Colliers International New Release Wed Jan 27 2010

Putting the virtual office work

In the last decade, virtual work has significantly increased. Professionals work remotely from home, from client locations or from the road. In fact, as much of 10% of today’s work force telecommutes from home — more than triple the level of 2000. Reducing the number of full-time employees lets corporations realize higher productivity and savings in real estate costs.

Financial Post Thu Jan 28 2010

Toronto’s River City project: A sober-sided urbanism

For adventurous home-buyers looking for digs in Toronto’s old industrial zones, the junction of King and Queen Streets East, just west of the Don River, is one of the city’s last frontiers. The gruff brick factories and warehouses that dot the area, and the Victorian storefronts along King and Queen, are being rapidly changed into chic dwellings and offices.

Globe and Mail Fri Jan 29 2010