If you are looking for a small warehouse space in Canada, you may be wondering if it is possible to find one. This article covers the demand for warehouse space in Canada, how much you will have to pay for the rental, and where to find these spaces. In this article, we’ll look at the locations and costs of renting a warehouse space in Toronto. Hopefully, you’ll find this information helpful as you look to rent a warehouse space in Toronto.
Demand for warehouse space in Canada
With the increasing need for space to fulfill the growing demand for goods, retailers are scrambling to create centralized logistics hubs in cities like Toronto, Vancouver, Montreal, and Ottawa. According to Statistics Canada, e-commerce retail sales are expected to grow by 70.5% in 2020. The growing popularity of online shopping, as well as stay-at-home orders, has fueled this demand. In addition to this, demand for space is growing as the supply of warehouse space decreases.
Earlier this year, Canada was facing a shortage of warehouse space. The rise of e-commerce, which has fueled a global retail boom, led to a shortage of available space. The demand for warehouse space is expected to exceed available space in Canada, with the vacancy rate of existing warehouses at historic lows. As a result, the supply of available warehouse space will remain limited. In the meantime, Canadian companies need to build more warehouses, and they have to make them faster than competitors.
In fact, Canada’s industrial market has experienced a shortage of warehouse space. There are currently just four million square feet of vacancy in major Canadian cities, indicating that the need for warehouse space has skyrocketed in recent years. The shortage is largely driven by the rise in e-commerce, with a vacancy rate of just 0.4%. Meanwhile, lease rates in Vancouver and Toronto have increased by 40% over the past three years. This is a good thing for warehouse owners in these cities. The low supply means that developers are busy trying to meet demand.
Costs of renting a warehouse space in Toronto
Before you decide to rent a warehouse space, consider how much it would cost you. This will give you a good idea of the costs involved. Also, be sure to consider your budget when deciding between renting and buying a space. Taking your time to compare both options will help you find a good warehouse space for lease in Toronto at an affordable price. If you are looking for a small warehouse space, make sure that it is close to public transportation.
In Toronto, the average asking net rental rate for small warehouse space has reached a record high of $9.79 per square foot, an increase of 3% year over year. This is an improvement over the $2.47 psf average three years ago. However, landlords are still keeping their face rates and offering flexible deal terms. Nevertheless, rents remain high, preventing many aspiring warehouse tenants from making the decision.
As with most costs, the cost of a small warehouse space depends on its size and location. A warehouse space in a manufacturing area will cost more, while one in a rural area will cost less. The average price of a small warehouse space is $7.50 per square foot, and the lease can last for up to two years. This means that the space can cost as little as $11,000 for a large warehouse in Toronto.
Locations where you can rent a warehouse space in Toronto
One of the best things you can do when it comes to setting up your business is to look for a location where you can rent a small warehouse space. Toronto is one of the largest cities in Canada, and the population has increased by over 30% over the past few years. This makes it an attractive location to start a business. Whether you need a warehouse for a small office, or a large industrial space, it is important to find the right location to make the most of your business.
The City of Toronto offers listings of various industrial and commercial properties. Listed by the size of each space, these listings can help you find the perfect space for your business. You can also contact a broker to discuss your needs. Once you have a location in mind, the next step is to reach out to local brokers to discuss the details. The process of renting an industrial space in Toronto is easy and cost-effective.
Some warehouses have parking spaces assigned to their tenants. Others have unreserved parking spaces, depending on the location and size of the warehouse. Depending on the location, there may be plenty of spots for your staff to park. In heavily populated areas, parking may be charged. Ultimately, the right location for your business is the one that makes sense for you and your business. And the best part about renting a small warehouse space in Toronto is that it is easy to do from the comfort of your own home.