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Rental rates across the Greater Toronto Area (GTA) have risen dramatically year over year, as demand for industrial space has greatly outpaced supply and tenants await delivery of projects under construction.
Overall net asking rents in the GTA have risen to $8.95 per square foot, a 18.7% increase compared to Q4 2018. When focussing on overall gross asking rents, the trend is partially diminished, with a 12.4% increase year-over-year.
Meanwhile, year-over-year vacancy rates have leveled off at 1.5%, following a sharp decline in previous quarters. Vacancy rates in Etobicoke and Toronto East have now dropped below 1.0%, at 0.9% and 0.7% respectively.