Greater Toronto Area Asset Performance Overview
Over this past year, the GTA's commercial real estate market has seen its fair share of uncertainty. A decrease in total investments by 30% compared to previous years has had many suspecting an increase in distressed assets in months to come. However, an economic boost has been proposed for 2021, with low borrowing costs and immense capital contributing to investor demand.
Distressed assets have piqued interest in many investors, as they believe settling is their only option. However, to their surprise, stakeholders and property owners are holding firm with no intention of accepting anything less than what is deserved.
Mortgage rates may have a part to play in the fate of assets across the Greater Toronto Area, according to Bill Argeropoulos, Principal and Practice Leader of research at Avison Young. "Mortgage maturities have the potential to put pressure on commercial property owners and their lenders – although interest rates are likely lower now than when the mortgages were taken out."
Where the current countries state will lead both non-distressed and distressed assets remains uncertain but hopeful.
Learn more about where commercial real estate investments are heading.
Reference
Argeropoulos, B. (2021, February 18). Distressed assets in The Gta? Not yet...: Renx - real estate NEWS EXCHANGE. Retrieved March 22, 2021, from https://renx.ca/distressed-assets-not-yet/
About Westhaven Group
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Westhaven Group oversees a collection of companies involved in managing and trading over 600,000 square feet of real estate across the City of Toronto and surrounding areas.
With multiple years of experience in the industry, our team works within residential and commercial spaces ensuring every aspect of real estate investment is covered.
Westhaven Group is a go-to source for all of your company needs.