Toronto’s office capital may be checking into hotels

From 2022 onwards, the share of office sales volume in Toronto has declined year over year. Toronto’s record-high office vacancy rate continues to expand, which coupled with rising operating costs, has shrunk the prospective buyer pool considerably. Meanwhile, existing office owners are deploying hold strategies with the hope that companies will return to pre-pandemic leasing levels, allowing them to avoid realizing the value declines that are showing in appraisals.