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Spotlight plans 4-tower project in Kitchener

Spotlight Development proposes bringing its “The Inclusive” brand of multi-residential housing to Kitchener. This rendering shows The Inclusive in Toronto. 

Transaction levels were slightly below average this week, with Hamilton lagging behind. However, with the start of a new month of transactional data on the horizon, it is expected that levels will pick up next week.

The biggest transaction of the week occurred in Waterloo, where Wilfrid Laurier University sold a student residence for $23 million to London Property Corp.

Another noteworthy transaction was the sale of 9.59 acres of industrial land on Hutchings Rd. in Brantford, which sold for $879,000/acre and further highlights the strong demand in the Highway 2 corridor. The price-per-acre is also of note, as it’s been rare to see land transactions of “market” value since the impacts of interest rate increases.

In the news, the CBRE has noted that cap rates are trending up, and transaction levels are slow for Q1 in Canada —  and based on our data, the same can be said for Hamilton. Additionally, HPL is planning to move to Pier 8, and the Hamilton Airport has released its 2022 report.

The GHA Sales Transaction Database offers you this week’s CRE transaction activity.

Take care,
Alex Manojlovich
Director, Strategy & Research

News Headlines

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Emblem Developments proposes 31-storey tower on John St. N.

The past week witnessed good transaction levels across most markets. However, Kitchener-Waterloo was an exception, with a very rare no-show in terms of transactions. For the second week in a row, most transactions were of average size.

The largest transaction of the week took place in Paris, where approximately 26 acres traded for $19.7 million or $734,000/acre. The Highway 2 corridor continues to be a hot commodity, as evidenced by the recent purchases made by Orlando Corp. and Panattoni. Over the past 24 months, these two companies have purchased hundreds of acres in this area.

In Hamilton, the largest purchase of the week occurred near the Upper Red Hill area, where 7,300 sq. ft. of industrial space traded for $3.22 million.

In the news, the DRP has reviewed two proposals for downtown residential projects, Corktown Condos sales will begin next month, and Toronto still leads North America in crane count.

Take care,
Alex Manojlovich
Director, Strategy & Research
___
News Headlines

Design briefs for Hamilton DRP, April 2023
92-100 John St. N.
325 James St. N.

Condo sales in new Corktown highrise will open next month – developer
The Hamilton Spectator, April 24, 2023

Council backs Hamilton’s housing road map
The Hamilton Spectator, April 20, 2023

Council backs plan to repair 476 empty CityHousing units
The Hamilton Spectator, April 21, 2023

Questions raised about FirstOntario Centre renovation
The Hamilton Spectator, April 19, 2023

McMaster University’s new downtown residence ‘neither sustainable nor affordable’ 
The Hamilton Spectator, April 20, 2023

Toronto continues to lead North America in crane count
Remi Network, April 18, 2023

Canada’s record population growth signals opportunities for CRE
RENX, April 18, 203

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Downtown Hamilton Could See Two New Towers on the Horizon

A conceptual render presented at the March 2023 Design Review Panel meeting showcases plans for two towers at 117 Jackson Street East.

This past week saw low transaction levels across all subject markets except for Brantford, which was absent.

Hamilton’s only transaction was the sale of 169 Jackson St. E. to Fengate Asset Management for $3 million ($13 million per acre). This purchase positions the property as a potential high-density development site, especially given that Fengate had already acquired the adjacent property at 48 Ferguson Ave. S. last December.

The largest transactions of the week occurred in Cambridge, where Suncor Energy sold 11.4 acres of industrial land for $8.5 million.

In the news, two towers have been proposed for downtown Hamilton, another two towers are proposed for Stoney Creek, and designs for a mid-rise at 392 Main St. W. have been revealed.

The GHA Sales Transaction Database offers you this week’s CRE transaction activity.

Take care,
Alex Manojlovich
Director, Strategy & Research

News Headlines

Two towers proposed in downtown Hamilton at 117 Jackson St E
The Public Record, March 3, 2023

117 Jackson St. E. Design Brief
392 Main St W Design Brief
Design Review Panel, March 2023

Seasons retirement home seeks to build twin towers near Stoney Creek Lakeshore
The Hamilton Spectator, February 28, 2023

A look at Hamilton’s office market
The Hamilton Spectator, March 4, 2023

Hamilton company which produces cancer drugs will have 10 times the space
In The Hammer, March 3, 2023

Hamilton to explore pipeline tax hike
The Hamilton Spectator, February 27, 2023

Ongoing track work at West Harbour GO
In The Hammer, March 1, 2023

Ontario moves to ban NDAs in real estate transactions
The Globe & Mail, March 1, 2023

2023 Canadian Real Estate Outlook
CBRE Research, February 2022

BoC expected to hold interest rate this week
The Hamilton Spectator, March 3, 2023

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Downtown Hamilton Site Purchased By Brad Lamb

Brad Lamb has purchased this 0.7-acre parking lot at 117 King William St. in downtown Hamilton.

 

This week witnessed good transaction levels in all subject markets.

We saw multiple eight-figure transactions as Sycamore Partners purchased several Lowe’s for approximately $140/sq. ft each. (It was announced earlier this month that Lowe’s will operate as RONA.) Among these transactions, the largest was in Woolwich, where 278 acres of land adjacent to the Waterloo airport was purchased for $35 million ($125,000/acre).

Beyond the Lowe’s transactions, the largest transaction in Hamilton took place downtown as Brad Lamb purchased 117 King William St., a 0.7-acre parking lot, for $7 million ($10 million/acre).

In the news, 43- and 36-storey towers have been proposed in Stoney Creek, the Jamesville Lofts development sees new life, and there’s an update on Oracle Condos, Coletara’s Main and Queen St. development.

The GHA Sales Transaction Database offers you this week’s CRE transaction activity.

Take care,
Alex Manojlovich
Director, Strategy & Research

News Headlines

43 and 36-Storey Towers Submitted for 8 Shoreview Place in Stoney Creek
The Public Record, February 5, 2023

Another residential high-rise bringing density downtown
The Hamilton Spectator, February 4, 2023

Construction resumes on momentarily defunct Jamesville Lofts development
The Hamilton Spectator, February 6, 2023

Investors own big chunk of Ontario’s condo market
The Globe & Mail, February 3, 2023

CIBC: Higher interest rates here to stay until 2024
The Financial Post, February 4, 2023

Canadian hiring spree puts pressure on BoC
The Globe & Mail, February 10, 2023

Pair of Kitchener heritage buildings to be incorporated in development
The Record, February 10, 2023

Pent up demand for housing is growing
The Toronto Star, February 11, 2023

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A rendering of the proposed 8-storey mixed-use development at 1866 Rymal Rd. E. in Stoney Creek. The Hamilton Design Review Panel will assess the proposal at their meeting on Thursday, February 9.

8-Storey Mountain Development Will Go to Design Review Panel

A rendering of the proposed 8-storey mixed-use development at 1866 Rymal Rd. E. in Stoney Creek. The Hamilton Design Review Panel will assess the proposal at their meeting on Thursday, February 9.

This week witnessed good transaction levels in all subject markets.

The largest transaction occurred in Kitchener as ONE Properties sold a relatively new retail plaza for $18.75 million ($240/sq. ft). It’s great to see the retail asset class rebounding from its pandemic lull.

The largest Hamilton transaction occurred on the Mountain, where Winzen Group purchased 8.44 acres of land for $11.2 million ($1.3 million/acre). Although it’s currently zoned agricultural, the property looks primed for a residential infill project.

Lots of news: The DRP will discuss an 8-storey proposal, the proposed towers project by Stoney Creek Battlefield House Museum and Park is headed to the OLT, and CBRE released their Q4 2022 cap rate report.

The GHA Sales Transaction Database offers you this week’s CRE transaction activity.

Take care,
Alex Manojlovich
Director, Strategy & Research

 

News Headlines

DRP to discuss an 8-storey proposal on 1866 Rymal Rd E
The Public Record, January 29, 2023

Proposed towers by Stoney Creek headed to OLT
The Hamilton Spectator, January 31, 2023

Hamilton EcDev January 2023 Stats
Invest in Hamilton, January 2023

Dofasco to build 14 km pipeline for ‘green steel’ project
The Hamilton Spectator, February 2, 2023

Hamilton considers fund for non-profit housing
The Hamilton Spectator, January 31, 2023

Hamilton not taking position at urban boundary court challenge
The Hamilton Spectator, February 1, 2023

Another strong year at HOPA Ports
HOPA, February 2, 2023

Federal Environment Minister might intervene in Ontario’s Greenbelt development plan
The Globe & Mail, January 26, 2023

Hamilton to restrict short-term rentals to tackle affordable housing crisis
CBC News, January 27, 2023

Intelligent Investment: Canadian Cap Rates & Investment Insights
CBRE Research, Q4, 2022

Canada Monthly Mortgage Commentary — Intelligent Investment: The Conditional Pause 
CBRE, January 30, 2023

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Hamilton’s DRP discusses Delta Secondary

This week witnessed a light amount of transactions. However, January is typically a slower month.

The largest transaction took place in Hamilton, where a trucking company purchased 86,000 sq. ft of industrial buildings situated on approximately 20 acres of land for $25.5 million ($297/sq. ft).

Coincidentally, the second largest purchase occurred in Stoney Creek by another trucking company that purchased 19.58 acres for roughly $8.2 million ($420,000/acre).

In the news, Hamilton’s DRP reviewed the development plan for Delta Secondary, an environmental group filed for a judicial review of Hamilton‘s boundary expansion, and HOPA expanded its industrial inventory with a large acquisition along the Welland Canal.

If you’re interested in learning what happened in Hamilton during 2022 and the trends heading into 2023, please join me at The Hamilton Commercial Real Estate Report: Year in Review at CoMotion on King at 115 King St. E. on January 25 at noon. RSVP today!

The GHA Sales Transaction Database offers you this week’s CRE transaction activity.

News Headlines

Hamilton Design Review Panel to discuss Delta Redevelopment
The Public Record, January 10, 2023

Group files for judicial review over Hamilton urban boundary
CBC News, January 9, 2023

HOPA expands industrial inventory at Thorold port lands
RENX, January 9, 2023

Ford, Horwath at odds on development fee cuts
CBC News, January 8, 2023

Waterloo may add a dozen more towers
The Record, January 10, 2023

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Hamilton’s high-density sector maturing

Just like mid-month, the end of December witnessed good transaction levels. No major deals took place in Hamilton, which could be a sign of things to come in 2023.

The largest transaction of the week took place in Cambridge, where Smartstop Self Storage purchased a 200,000 sq. ft asset for $36 million ($176/sq. ft).

The second largest transaction occurred in Thorold, where Bioveld purchased approximately 450,000 sq. ft of an industrial asset, with additional land, along the Welland Canal and will reportedly lease to the Hamilton-Oshawa Port Authority.

In Hamilton, the largest deal was for a 9,000 sq. ft office, which sold for $1.85 million ($206/sq. ft), which is about the typical value for most of the (very few) office transactions.

In the news, Hamilton‘s high-density sector is maturing, immigration to Canada hit a record in 2022, and the labour market crushed forecasts.

If you’re interested in learning what happened in Hamilton during 2022 and the trends heading into 2023, please join me at The Hamilton Commercial Real Estate Report: Year in Review at CoMotion on King at 115 King St. E. on January 25 at noon. RSVP today!

The GHA Sales Transaction Database offers you this week’s CRE transaction activity.

News Headlines

Greenbelt infrastructure issues could delay homebuilders 
The Toronto Star, December 30, 2022

Hamilton’s high-density sector is maturing
RENX, January 6, 2023

Hamilton Jamesville redevelopment stalled by CN appeal
The Hamilton Spectator, January 6, 2023

Labour market crushes forecasts, increases odds of rate hike
BNN Bloomberg, January 6, 2023

Record number of condos to hit Toronto market in 2023
The Globe and Mail, January 3, 2023

Immigration to Canada hits record in 2022
The Globe and Mail, January 3, 2023

Why those waiting for a return to normal commercial real estate will get left behind
The Financial Times, January 2, 2023

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1.4 acres of Stoney Creek residential sold to Mountainview Building Group

Alex Manojlovich presents Forge & Foster's Hamilton Commercial Real Estate Report Year in Review on January 25 at CoMotion on King at 115 King St. E. We encourage savvy investors and well-informed citizens alike to join us for valuable insights at this free public event. Refreshments provided. RSVP today!
Alex Manojlovich presents ‘Forge & Foster’s Hamilton Commercial Real Estate Report Year in Review’ on January 25 at CoMotion on King at 115 King St. E. We encourage savvy investors and well-informed citizens alike to join us for valuable insights at this free public event. Refreshments provided. RSVP today!

Happy New Year! I hope everyone had a safe and happy holiday.

The midpoint of December saw good volumes but no major translations.

The largest transaction occurred in the Niagara Region, where 46 acres of ICI land traded for $12 million (approximately $250,000/acre).

In Hamilton, the largest deal was for 1.4 acres of residential land in Stoney Creek, which was sold to Mountainview Building Group for $3.2 million ($2.2 million/acre).

In the news, The Spec looked into Hamilton’s urban boundary expansion, City Centre Mall has closed, and RBC reported a slow national housing market for December.

It will be interesting to see year-end data as we typically see larger transactions close, but it may be muted due to interest rates.

If you’re interested in learning what happened in Hamilton during 2022 and the trends heading into 2023, please join me at The Hamilton Commercial Real Estate Report: Year in Review at CoMotion on King at 115 King St. E. on January 25 at noon. RSVP today!

News Headlines

Hamilton’s forced urban boundary expansion happened quickly –  how quickly for new homes to follow
The Hamilton Spectator, December 22, 2022

New law threatens to strip development protection from Hamilton wetlands
The Hamilton Spectator, December 30, 2022

City Centre Mall closes its doors for future development
CBC News, December 31, 2022

Downtown fire leaves significant damage to King St property
CBC News, December 20, 2022

Infill development approved despite objections from residents, housing advocates 
The Record, December 20, 2022

Strategic Storage Trust acquires 132,000 sqft Cambridge facility 
SmartStop Self Storage REIT, Inc. press release via BusinessWire, December 20, 2022

Housing Market stays quiet to end 2022
RBC Monthly Housing Market Update, December 15, 2022
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Downtown Hamilton Site Purchased by Fengate

Alex Manojlovich presents Forge & Foster’s Hamilton Commercial Real Estate Report Year in Review on January 25 at CoMotion on King at 115 King St. E. We encourage savvy investors and well-informed citizens alike to join us for valuable insights at this free public event. Refreshments provided. RSVP today!

This week witnessed good transaction levels in Hamilton and Kitchener, with Niagara and Brantford winding down.

This week’s largest transaction took place in Kitchener, where the Waterloo Catholic District School Board purchased land from the Grand River Conservation Authority for approximately $12.7 million.

Also in Kitchener, IN8 Developments purchased a downtown parcel for $10.3 million ($17.7 million/acre). IN8 Developments is currently working towards the City Centre Mall development in Hamilton.

In Hamilton, a similar transaction took place as Fengate Asset Management purchased 48 Ferguson Ave. S. for $7.5 million ($16.6 million/acre) for what appears to be a future development site.  A high value that usually represents some approvals have been attained, however, I’m personally unaware of any.

In the news, Hamilton councillors approved Upper James property rezoning, the Hamilton airport cargo business is flourishing, and the Province has removed 7,400 acres from the Greenbelt.

Happy holidays, everyone! The next newsletter will be on January 3. Subscribe today!
News Headlines

Council approved Upper James property zoning for 8 storeys
The Hamilton Spectator, December 13, 2022

City of Hamilton not opposing Dundas developer’s land tribunal appeal  
The Hamilton Spectator, December 13, 2022

Hamilton airport cargo business outpaces the rest of Canada
Canadian Aviation News, December 14, 2022

Mission Services aim to open new shelter early next year
The Hamilton Spectator, December 14, 2022

Hamilton e-scooter pilot to get rolling next spring
The Hamilton Spectator, December 20, 2022

Ontario government removes 7,400 acres from Greenbelt
The Globe & Mail, December 17, 2022

Shopify confirms it no longer intends to expand to new office development, The Well
The Toronto Star, December 14, 2022
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Arlington Hotel

Ontario passes housing bill, Bill 23

Carmen’s Group acquired The Arlington Hotel and Dominion Telegraph Event Centre from The Other Bird.
This week witnessed adequate transaction levels as the year began to wind down.

This week’s largest transaction occurred on Hamilton Mountain, where a sizable 72-unit multi-residential sold for $16.75 million ($232,000/unit).
This price is slightly above market value, and overall it’s great to see a multi-residential transaction take place in Hamilton as it continues to hold the lowest capitalization rates.

Most of the remaining deals occurred in rural areas throughout the region, with the Arlington Hotel and Dominion Telegraph Centre in Paris standing out, selling at $6.2 million.

In the news, Ontario passed Bill 23, Adi Developments settled with a building regulator, and RBC will buy HSBC Canada in a record-breaking domestic banking deal worth $13.5 billion.

News Headlines

Ontario passes housing bill, Bill 23 amid criticism
CBC News, November 28, 2022

Up to $25 million per year in revenue foregone due to Bill 23, says Hamilton
The Hamilton Spectator, December 1, 2022

CEBL team Honey Badgers leaving Hamilton amid upcoming arena renovations
The Hamilton Spectator, November 28, 2022

Carmen’s Group purchase Arlington Hotel and Dominion Telegraph Event Centre
The Hamilton Spectator, November 29, 2022

Adi Developments settles with building regulator over Burlington Condo project
The Hamilton Spectator, November 30, 2022

RBC to buy HSBC Canada for $13.5B – biggest domestic banking deal on record
The Globe & Mail, November 29, 2022

Government land needed to solve shortage of warehouse space
The Globe & Mail, November 29, 2022

Canada wants to welcome 500,000 immigrants per year to 2025 – Can our country keep up
The Globe & Mail, November 26, 2022

Auditor General: Ontario’s real estate regulator is ineffective
The Globe & Mail, November 30, 2022

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