Figure | Evolving Workforces
Toronto Lab Market H1 2022
August 22, 2022
The laboratory real estate market in the Greater Toronto and Hamilton Area (GTHA) is a nascent one, but ballooning demand domestically and from abroad is attracting growing investor interest.
- Lab vacancy in the GTHA is virtually nonexistent, at only 0.2% of the 12.3 million sq. ft. of inventory in the region
- Outside of the MaRS Discovery District and McMaster Innovation Park campuses, multi-tenant lab properties are scarce and account for only 2.3% of total inventory.
- Lab inventory in the GTHA is concentrated in smaller sized facilities, which greatly limit the ability for tenants to expand or grow at scale.
- There are over 3.5 million sq. ft. of active lab tenant requirements, but opportunities are incredibly limited with demand representing 141 times the currently available lab space in the market.
- Construction costs for lab spaces can vary dramatically and depends on the suitability of conversion and the type of interior improvements.