Although the seemingly endless construction is a massive burden to commercial enterprises along the Eglinton Way, it is also spurring on a hot sales market for the stretch.
Several buildings along the construction-laden street have recently been sold, including the former Oink Oink toy store at 356 Eglinton Ave. W., Yitz’s Deli at 346 and a vacant building next door to the deli. Meanwhile, realtors are handling increased calls requesting information about potential commercial sales there.
“Eglinton has always been a major arterial route, but with all the development [LRT expansion], it’ll be even more so,” said Harvey Kalles Real Estate agent Herman Wood, who specializes in commercial sales. “A lot of people are realizing that [development] will bring a lot more traffic and property values will go up.
“Properties along Eglinton are selling right away,” he added. “People recognize there’s some short-term pain with the construction, but in the long run, Eglinton is the place to invest right now. The top three things in real estate are location, location, location, and Eglinton will be the location.”
He said the purchases aren’t necessarily being done by a single developer, but rather by investors who are buying before values escalate. As an example of the investment potential there, Wood said commercial property rentals have typically run in the $35 per square foot range on Eglinton, but he anticipates after construction is complete owners will be able to charge more in the $50 to $60 per square foot range.
“There is definitely a lot of opportunities to be had on Eglinton for the future, and there’s definitely been a big increase in requests for property information,” said broker Darren Slavens of Slavens and Associates Real Estate. “There is a concern among the retailers [about rental cost increases]. There will be an impact, the short term will be difficult, but in the long term it will be a fantastic place to do business.”
