•With availability rates diminishing steadily over the past year, Waterloo Region’s industrial market continues to be increasingly competitive. Strong occupier activity is resulting in low availabilities and increases in average net rental rates, limiting tenants looking to enter the market.

 

•No new industrial supply has been delivered in the past two quarters, as there is strong construction activity in the Region and many projects are being fully leased prior to completion. This trend will continue to push the availability rate downwards as new inventory is added in 2019 without the space being available to the market.

 

•Toronto-based occupiers continue to take advantage of the Region’s strategic location and competitive relative value compared to the GTA. There has been strong gains in land sale prices as well as sale prices due to the increased competition among those looking to enter the market – proven by the average asking sale price per square foot more than doubling since Year-End 2017.