High Demand Drives Brantford's Commercial Real Estate Market

Owen Portelli, Student Contributor

Brantford residents are experiencing an unprecedented housing market. Has this momentum carried over to other sectors of the real estate market, including commercial real estate?

Price increases in residential real estate are partially attributed to lower inventory against the number of buyers in the market. This trend has carried over into commercial real estate as well. According to Brantford real estate agent and Chamber member Ken Karakas, as a result of “a shortage of inventory, prices have been driven up”. A current trend to company downsizing, with staff working from home and other factors, has also led to a greater desire for smaller commercial office space.

Karakas notes there is “big demand for properties for sale and lease in the industrial sector… and a huge demand for investment properties in all sectors.” One of the largest contributing factors to Brantford’s high commercial real estate prices is an existing lack of available commercial and industrial buildings. Karakas says “(Brantford) has been short of commercial and industrial buildings for some time ... it is an excellent time for sellers that need to sell to get top dollar for their properties … (as) we have been short of land development in all categories.”

Brantford’s commercial real estate market is optimistic with many new development projects working through design and approvals, many of which are infill development and repositioning. Karakas explains that “Brantford has quotas for high density residential, and thus a demand for repositioning of schools that are no longer needed for that purpose and greyfield sites will become more popular soon.” While Brantford’s commercial real estate market remains strong, in order to remain competitive with surrounding markets, Karakas states: “(Brantford) must be more competitive in our commercial property taxes.”

Market demand is consistent throughout most sectors of real estate right now, including commercial and industrial lands in Brantford. With the right steps being taken, the future of commercial real estate looks bright in Brantford.