What are GTA High Density Sites Selling For?

With increasing construction costs and higher municipal fees, are Greater Toronto Area high-rise developers paying less for land? Sign up to our mailing list to get our new report, which can answer that question: CLICK HERE 

Bullpen Research & Consulting Inc and Batory Management have teamed up again to review land sales in the GTA that we’ve identified as future sites for condominium or rental apartment projects. Special thanks go out to Baker Real Estate for sponsoring the report, and Ratio.City for providing their perspective on a number of sites.

Over the last 24 months, downtown projects were launching at $800 to $900 psf, and in 2018, new condominium apartments in similar locations are now coming to market at $1,200 to $1,300 psf, and even “C” quality sites are offering product in excess of $1,000 psf in 2018. Based on these new higher price levels, land owners and their broker representatives are calculating the residual value of their lands, and putting tremendous upward pressure on land prices.

As a result of these higher land costs, developers that five years ago would have not considered projects outside of Toronto, are looking at sites in the outer-416 area, suburban markets, and even outside the GTA. (If you’re looking for a market study on some of these non-prime markets, please give us a call!)

We will continue to keep an eye on GTA high density land sales, please add your thoughts on the market in the comments section below or Tweet at us: @BullpenConsult 


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