Wednesday, February 16, 2011

Commercial real estate deals up 48%

Toronto led other Canadian cities in the value of commercial real estate deals last year, growing by 93 per cent to $7.4 billion. (CBC)

The value of commercial property transactions across Canada soared by 48 per cent last year to $18.9 billion, real estate firm CB Richard Ellis said Monday.

CBRE said the hike was driven by a strengthening economy and surging investor confidence.

CBRE's 2010 National Investment Report found that the volume of commercial deals grew in every market expect for London, Ont.

Transactions in Toronto shot up the most, growing by 93 per cent, with $7.4 billion in trades, up from $3.8 billion in 2009.

Last year's total soared past the $12.7 billion seen in 2009 and approached pre-recession, 2005 levels when $19.8 billion of commercial property changed hands.

By year-end, the number of commercial transactions reached 4,589, up by more than 18 per cent from the 3,872 transactions in 2009.

The report predicts that this year transaction volumes will be strong, but the values of individual deals will likely be smaller.

Source: with files from Canadian Press

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