Toronto 61 Brownlow | 197.6m | 60s | Menkes | Turner Fleischer

Strange Advance said:
It's axiomatic that having a subway very close by makes a condo building more attractive to prospective buyers than one that is nowhere near transit options.
Click to expand...
Sure but neither building is selling today, and won't be for at least a half decade. Transit isn't playing into anyone's calculus today, unless it's resale.
 
Both of you are correct, I think. The condo market is currently dead (although larger non-investor unit sizes, I would wager are still selling, they just are a small component of the unit mix out there.)

But prox to higher order transit is certainly a major driver in value for land, and that indicates that it is a driver for the value to the end user and therefore the developer.

It doesn't really matter if its condo or PBR. If rental inventory is all higher end, and larger condos are maintaining higher prices, for many that will mean sacrifices. People will sacrifice owning a car if there is good transit nearby.
 
They aren't selling squat here, bar none. Menkes has deep pockets, but they won't be launching sale-condos here for years. Rent compression alone will make this a very tough thing to get going and Menkes are already undertaking 4800 Yonge and part of Sugar Wharf as rental so that's a ton of equity currently engaged. There's another rental project in this area that's going on hold until things turn so while I understand both of your academic point(s), I don't agree it'll change anything in the real world.
 
UrbanAffair said:
although larger non-investor unit sizes, I would wager are still selling
Click to expand...
Not really. I know people who were selling a larger unit in an older building and their original listing price was entirely reasonable. But it still took them a significant price cut and two months on market to sell.
UrbanAffair said:
maintaining higher prices
Click to expand...
They haven't. Units in my area in older buildings (the larger units from the 70s and 80s) are down 100-150k since 2023.
 
That's interesting. The exposure time to market at 2 months is not abnormal for most markets. Abnormal maybe for Toronto as we were used to quick sales and bid wars from those halcyon days pre-covid. I am surprised by the loss in value for older stock condos. There was always good value in those older larger units. Perhaps there is stigma attached to the entire condo market from collapse, affecting all segments to some extent.
 
You must log in or register to post here.

Back
Top