Office Submarket Dashboard: Downtown North SUBMARKET INDICATORS
Q3-09
MAP OF SUBMARKET
Q2 2009
Q3 2009
Trend
Office Inventory*
14,755,351
14,755,351
Net Absorption
(31,938)
30,950
Vacancy Rate
2.5%
2.4%
Average Asking Net Rent
$18.64
$18.45
Average Additional Rent
$20.45
$20.76
*Office Inventory: For the purpose of this report, buildings with less than 10,000 sf of office space and buildings owned and occupied by the government have not been included in the office inventory. There are 73 office buildings surveyed in this submarket.
AVAILABLE SUPPLY SPLIT Direct
Sublease
Sublease as % of Total Available
1,000,000
85%
900,000
75%
800,000
65%
Square Feet
700,000
AVAILABLE SPACE OPTIONS Number of units on the submarket by size brackets
55%
600,000
0 - 4k sf
4k - 10k sf
10k - 20k sf
20 - 50k sf
50k - 100k sf
100k sf +
63
17
9
9
0
0
45%
500,000
# of units** 35%
400,000
25%
300,000 200,000
15%
100,000
5%
0
** Counting smallest divisible units in existing buildings and buildings which are under construction.
RECENT TRANSACTIONS Q3 2009 TOP Office Lease Transactions by Size Address
Suite
Sq. Ft.
Landlord
Tenant
480 University Ave
Suite 210
5,829
N/A
Prison Medical
399 Church Street
Suite 200
3,945
N/A
N/A
337 Queen St W
Suite 300
1,200
N/A
N/A
-5%
Q2 2008
Q3 2008
Q4 2008
Q1 2009
Q2 2009
Q3 2009
GROSS RENT & AVAILABILITY BY BUILDING CLASS Avail. Office Space
Not Avail. Office Space
Gross Rent
$45
TOP Office Sale Transactions by Price
$36.55 $42.82
7,000,000 $31.37
$35 $30
5,000,000
$25 Gross Rent $/Sq. Ft.
Date
Address
Price
Vendor
Purchaser
Size
$/PSF
9/1/2009
McMurtryScott Building
$25,400,000
H&R REIT
Dundee REIT
221,950
$229
6,000,000
4,000,000
OCCUPIED SPACE BY MAJOR BUSINESS CATEGORIES Sq. Ft.
$40
$20
Professional Services 9%
3,000,000 $15 2,000,000
Public Service & Private Sector Services 68%
$10 1,000,000
$5 $-
Finance 17% Data,Publishing, Others Broadcasting Manufacturing & 2% Services Distribution 2% 2%
Class A
Class B
Class C
Note: Not available office space (blue) and available office space (yellow) add up to the total inventory of office space in the respective building class.
15 MONTH TREND
TOP PROJECTS UNDER CONSTRUCTION BY SIZE Absorption
Asking Net Rent
Vacancy Rate
Address
25
Developer
Sq. Ft.
Anchor Tenant
Est. Com.
4.0%
No Construction took place during this period 3.5%
SUBMARKET CHARACTERISTICS $18.45
3.0%
15 2.5%
2.4%
10
2.0%
1.5%
5 1.0%
-
Q2 2008
Q3 2008
-5
Q4 2008
Q1 2009
Q2 2009
0.5%
Vacancy Rate
Net Rent $/sf. / Absorption (10,000's)
20
* Offering all downtown location advantages but at lower rental prices than in the Financial Core * Great connections to public transit and road system makes this submarket accessible to employees and clients/customers. * Great proximity to an educated and productive labour force * With new residential high-rise development, residential development will increase and expand and diversify labour pool * Incorporates Toronto Discovery District a 2.5 square km research park with a highly concentrated mix of research, bio-medical companies, finance and business support services * Submarket will benefit from the development of the Metrolinx transportation plan and MoveOntario 2020.
0.0%
Source: Colliers International, Q3 2009 Information contained herein has been obtained from the owners or other sources deemed reliable. We have no reason to doubt its accuracy but regret we cannot guarantee it. All properties subject to change or withdrawal without notice. All numbers reported use the most accurate information available at the time of publishing, however we acknowledge that there may be marginal changes over time as more accurate information becomes available.
Colliers Macaulay Nicolls (Ontario) Inc., Brokerage.