GTA expects 94,000 new condos within five years
November 26, 2017
The Greater Toronto Area (GTA) will see 94,000 condo apartments created over the next five years, according to a study by the Ryerson Building Institute and Urbanation. This is the highest number on record, and most of the condos will be in towers of more than 20 storeys, the study found.
But the new paper Bedrooms in the Sky: Is Toronto building the right condo supply? suggests there is gap between the type of new supply and what consumers may reallyneed.
The majority of condo apartments in development are one-bedroom and studio apartments. Only 41per cent of condo units in development in the GTA are two-bedrooms and larger. In the central 416 area, it’s 36 per cent.
“We are building condos at an all-time high, but not enough middle-housing that is suitable for a range of family sizes and income levels,” said Cherise Burda, executive director of the Ryerson City Building Institute. Other key findings of the report include:
• Condo units in buildings of less than 12 storeys are being built in greater proportions in the suburban 905 area, representing 31 per cent of all multi-family housing units coming down the pipeline.
• In Central 416, condo apartments in buildings under 12 floors represent only seven per cent of total units currently in the pipeline.
• In the central 416, 80 per cent of new multi-unit homes in the pipeline are in buildings over 20 storeys; over half are in towers of at least 36 storeys.
• Between 2016 and 2026, the 35 to 44 age bracket is expected to grow by 207,000 residents and drive increased demand for larger, more family-friendly housing.
“We need to pay close attention to the type of supply that we are delivering,” said Shaun Hildebrand, senior vice president of Urbanation. “The composition of condo demand will continue to change.”