Toronto Office Vacancies At Highest Level In More Than A Decade

Office vacancies in downtown Toronto are at their highest level since 2008 as the work from home trend continues in the wake of the COVID-19 pandemic.

The second-quarter office vacancy rate in Toronto reached 10%, up nearly a full percentage point from the first three months of this year and just shy of the 10.1% rate reached at the start of 2008, when the world was rocked by a global recession, according to data from commercial real estate brokerage CBRE Ltd.

With the pandemic easing in the U.S., New York’s office real estate market is starting to come back, but Toronto’s has remained largely locked down with measures still in place to control a recent surge of COVID-19 infections.

Much of the increase in Toronto office vacancies occurred in April, with the rate holding steady since then, according to CBRE.