Toronto Rent Boom Drives Record-Breaking Sales in Apartments

(Bloomberg) -- Rising rents across Toronto led to record-breaking sales for multi-residential apartment buildings in the third quarter, according to a report released Friday by commercial real estate firm Avison Young Canada Inc.

Demand for other commercial real estate assets continued to outstrip supply, the report said. Investors racked up more than C$4 billion ($3.1 billion) worth of deals in the third quarter.

“Buyers looked to take advantage of record-low vacancy and rising rental rates across most asset types -- all amid elevated asset s and the prospect of higher interest rates,” Bill Argeropoulos, principal and practice leader of Canada research at Avison Young, said by email.