I think they must. Many already are- even Barton is filling in, as I’ve said before. And there’s very few units going in around there yet; must be people just moving into the neighbourhood. Downtown especially is seeing this- retail is spurting up on streets meeting James now, and King West is already more lively. A lot of new developments are bringing retail space too. Feels like there’s demand.
I don’t like the “see what happens” mentality because without changes to the built environment, it’s not going to be as desirable as it might be. The changes you’d make after the fact will thus be smaller in scope because you didn’t put a lot of work into accommodating what’s come. With that said, it’s a good exercise of caution- anything drastic at this stage probably won’t be helpful anyway. It’s also probably unclear where to focus improvements to the pedestrian realm, for instance.