The need of the people pertaining to the kind of living they prefer is what drives the real estate market. If people are more inclined towards convenience where every facility of life is easily accessible then they prefer living in downtown, while if they want a more elegant living that keeps the hustle and bustle of the city at bay, then their preference is the life of suburbs. In Toronto, the former preference is prevalent at present.
“The population of urban centres grew 7.1 per cent between 2006 and 2011.” – Statistics Canada.
Although these stats are of a couple of years back, however, they pretty much represent the present situation of Toronto aptly. The demographics have changed and now families as well as the millennials all prefer urban life to the white picket fences.
Besides the obvious glamor of the downtown life, there is a variety of other factors that govern the increasing downtown population in Toronto. Primarily it is the fact that living in suburbs results in heavy cost spent on daily commute and secondly, it is the environmental footprint factor that motivates the smart Canadians towards opting for city life over residence in suburbia.
The real estate gurus realize that this huge influx of people towards the urban areas of Toronto means a boom in the commercial estate of Toronto. It is obvious that this influx of people requires residential units for stay which brings the condos owners into business – however, an even greatersurge in economic activity takes place on the commerce level where all these people coming to Toronto either start their own business or become a part of business by offering their services. Thus, the offices do and will continue on expanding which in other words translates into an increase in the investment in commercial real estate of Toronto.
In addition to the fact that the number of people moving to Toronto keeps on increasing day after day, there are a couple of other factors as well that assist in sustaining and nourishing the growth of commercial property investment in Toronto.
The first element is the increased interest rates in combination with the stability in Canadian economy that brings foreign investment. This investment primarily comes in the form of business establishment; therefore, the need for commercial property keeps on increasing and would remain so in the foreseeable future.
Second element is the capital that the baby boomers are going to bring to the Toronto real estate. A report shows that the baby boomers are more inclined towards turning their retirement stock into assets that generate regular income for them. Therefore, the retired people will also play their part in keeping the Toronto downtown commercial real estate high in demand.
Investing in commercial real estate in downtown Toronto at present is a chance no wise person would want to miss. The movement of people towards the downtown, the stable and increasing foreign investment, and the savings of baby boomers turned into investment all are factors that show all good for downtown commercial real estate investment in Toronto. Now more than ever is the time to take the plunge in the bountiful real estate in downtown area of Toronto.