As the largest urban center in Canada, the Greater Toronto Area is a heavily populated region with many high-density residential buildings. For those looking to get into the property owning and managing business, this provides a multitude of potential investments.
While the world of smaller-scale real estate has its own set of companies and resources, the sale of apartment buildings tends to be done through larger commercial firms and brokerages.
If you’re looking to buy, your best bet is to enlist the help of a trusted real estate company with specific experience in the field of apartment building sales.
The prices associated with buying commercial real estate, such as apartment buildings, vary significantly depending on several factors. The most important to consider is location.
The closer one gets to downtown the higher the prices rise, potentially many times the costs of options further out from the core. Another factor to consider is proximity to public transportation, particularly Toronto Transit Commission (TTC) subway lines.
Since these provide quick and easy access to the rest of the city, renters will tend to pay a premium to be within walking distance to a station. Of course, the other factor to consider is the condition of the building in question, but that’s something to be determined on a case-by-case basis.
Over the past decade or so, the city’s downtown core has seen a sharp rise in residential rental space as condominiums and apartment have sprung up everywhere, filling in every spare patch of land.
Even with this increase in supply the demand has not retreated, as people continue to move to Toronto, and investors continue to bet on the need for places for these residents to live.
Most of the new units are in large skyscrapers owned by multi-million dollar corporations, backed by investors from around the world. Smaller-scale investors, as well as ordinary residents, then buy up the condominiums inside.
However, that does not mean that it’s impossible to find a good bargain in the city. From downtown to the 905 region, there are a variety of apartment buildings for sale that range all the way down to small two-story buildings.
Building density can fluctuate quite a bit in Toronto, particularly closer to the core. In the downtown area, the majority of large condos and apartment buildings are found in an area that forms a ring around the business district centered north of the waterfront on Yonge Street and Bay Street.
Adjacent to this area are neighbourhoods with a mix of smaller and medium-sized apartment buildings. Neighbourhoods like Yonge and Wellesley, The Annex, and Queen Street West fall into this category, with a wide range of prices depending on exact location and condition of the building.
Outside of the core, smaller apartment buildings tend to be found along all of the city’s major road arteries. Roads running north-south like Bathurst Street, Avenue Road and Dufferin Street all feature medium-to-high density residential areas. The same is the case for east-west arteries such as Eglinton Avenue, St. Clair Avenue and Lawrence Avenue.
Apartment buildings also tend to be clustered around intersections of major transportation routes, whether that is highways, the TTC, the GO Transit rail system, or even airports.
Highway 401 is the region’s busiest highway, in fact it’s said to be the busiest highway in North America, and as a result population density tends to spike in the areas around its interchanges. The same is the case for Highways 403, 400 and 407, to a slightly lesser extent.
As mentioned before, public transportation also attracts pockets of apartment buildings, even in areas outside the core where the density is otherwise low. Kipling Station, Islington Station and Kennedy Station are all good examples of this type of urban planning at work.
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