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TORONTO OFFICE VACANCIES TO SURGE

From Wednesday's Globe and Mail

Toronto may not have the smug pleasure of relatively low office vacancy rates for much longer, even though its key financial sector tenants are doing quite well. Cushman & Wakefield Inc. predicted yesterday vacancy rates will more than triple by 2011 as new buildings open in the downtown core and suck tenants from older, less fancy buildings.

3.2 million

Number of square feet about to hit Toronto market as buildings are opened by Brookfield Properties Corp., Cadillac Fairview Corp. and Menkes Developments Ltd.

7.8%

Toronto's downtown vacancy rate by end of the year

8.5%

Manhattan's vacancy rate by end of the year

13.6%

Toronto's vacancy rate by 2011

13.4%

Manhattan's vacancy rate by 2011

Source: Cushman & Wakefield Inc.

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