Tuesday, January 23, 2018

Toronto needs still more condos

It's difficult to believe but, even with all the construction work that I see continuing inexorably in downtown Toronto, tgere are still not enough condo units being built to cope with the burgeoning demand, and condo vacancy levels have now dropped below 1%.
Construction of new condos seems to have continued ceaselessly for as long as I can remember, regardless of economic downturns or political upheavals. At the end of 2017, some 7,184 new purpose-built rental units were under construction. Toronto is apparently in the process of building 50% more high-rises than New York City, and now ranks 8th in the world for skyscrapers. Our waterfront has now disappeared behind a deluge of concrete.
But it seems this is still not enough to assuage the never-ending demand for condos, as the GTA's population continues to rise. As a result, rents have increased sharply over the last year, and bidding wars have emerged, with people offering higher than the posted rates in order to secure apartments.

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