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.
This week witnessed lower than typical volumes, with Hamilton being the top performer for the third consecutive week and Kitchener-Waterloo/Cambridge providing a very, very rare no-show. St. Catharines also did not register a commercial real estate transaction.
With the Bank of Canada interest rate increases, we’re beginning to materially see a slowing in the market, however, values have continued to hold.
This week’s largest transaction occurred in Brantford, where 102 acres of vacant prospective residential land at 531 Powerline Rd. sold for approximately $24 million or $238,000/acre, which usually indicates the land requires substantive land entitlement before development can be implemented.
Of note for Hamilton, Vrancor Group purchased 21 Queen St N, a house abutting their King St and Queen St block development, for $500,000 or $10 million/acre.
In the news, The Spec provided a story on Hamilton’s highest value development projects for 2022, IKEA purchases65 acres of Hamilton land (as reported last week), and the unemployment rate drops in Hamilton.
This week witnessed slightly below-average transaction levels.
In Hamilton, the largest transaction was for a retail plaza located across from Westdale Secondary School. The retail and office property sold to Westdale Properties for $14,850,000 ($277/sqft). It’s a decent price considering the large office exposure.
Kitchener-Waterloo witnessed two massive transactions. The largest was for 52 acres of industrial land in Cambridge. This property was purchased by Fengate Asset Management for $91,320,000 ($1,750,000/acre). It’s an absolutely massive value for industrial land. It seems there’s no limit in sight.