The vacancy gap between Class A and B office space declined dramatically in the downtown core compared to previous quarters, at 7.0% and 8.1% respectively.

In the suburban area, despite a 16.2% vacancy rate, large blocks of direct space exceeding 40,000 sq. ft. are scarce in some sectors, especially in the Mile End/Mile Ex area.

The technology sector remains at the forefront in the GMA, with the city ranking 1 st among major North American cities for the quality of its artificial intelligence (AI) sector and in
the top tier for the video games, VFX and aerospace industries.

The increase of construction costs remains a major concern for the market.