Why? The city's rental market seems to be evening out as a … The effect of COVID-19 on development was the basis for the discussion, which evolved into a “state-of-the-business” update on many commercial real estate sectors and issues facing the industry. One of the big selling points for new buildings is that they tend to be more efficient, meaning they’re bigger and have room for more people. Industrial real estate is still in super high demand. It seems the short-term shift to working from home has proved that employees can be productive from their home offices. Dec 11, 2020 5:37 PM … But even then, we predict a downtown vacancy rate of eight to 10 per cent. But even with subleasing, it takes time for companies to put plans in motion. The vacancy rate was below one per cent pre-Covid, and now, because e-commerce is booming, there’s even more need for warehouse space. That’s ridiculously low, both historically and in comparison to other cities in North America. Because of that, we were expecting vacancy rates to rise to six per cent by 2021-2022. TORONTO — A small fleet of mobile COVID-19 testing centres is helping Toronto communities track the spread of the virus. Washington, United States, Executive Managing Director And the new buildings also have the best ventilation systems, which is especially important now. More people are working from home, and some companies are experiencing financial hardship, so they’re going to evaluate their needs and put some of their excess space on the market. Are you wondering what the “next normal” will be when returning to your workplace? Commercial Real Estate; All Listings and Businesses ... TORONTO — A church in Toronto's northeast corner has filed a constitutional challenge over Ontario's COVID-19 health regulations. Cineplex has been hit hard by the COVID-19 pandemic, and said last month that 91 per cent fewer moviegoers came to theatres this summer compared to summer 2019. But at the same time, there are lots of other firms that aren’t handling the shift to working from home so well, especially companies that aren’t digital native. Especially since vacancy rates are relatively low and it’s going to be tough to find new space. On June 17, 2020, the Ontario government passed the Protecting Small Business Act, temporarily halting or reversing evictions of commercial tenants and protecting them from being locked out or having their assets seized during COVID-19.. If a company gives up their space, then in three months’ time there’s a vaccine and everyone can go back to work, that company is not going to be happy. What was Toronto’s commercial real estate market like in the before times? © Copyright Cushman & Wakefield 2020. COVID-19 implications for commercial real estate Preparing for the “next normal” Unlike past economic challenges, COVID-19 is having an immediate, widespread impact on the CRE industry across the globe. Highlights the top topics the Canadian hospitality industry is facing, along with a glance at the hotel cap rates across Canadian markets. Many buyers have decidedto hold off on purchases amid uncertain economic conditions. At 2.9 per cent, landlords have a big advantage because tenants don’t have a lot of other places to go. That will be a boon to areas like Oshawa on the fringes of the GTA. We’re here to help. ... More real estate … Is there anything good coming out of this? Over the past several years, real estate investments have generated steady cash flow and returns significantly above traditional sources of yield—such as corporate debt—with only slightly more risk. Head of Economic Analysis & Forecasting, Global Research. That isn’t much, but I think as we proceed, we’re going to see more space being subleased. 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