Occupancy Index - December 1, 2025 (Year End Report)

What Can Canada Learn from New York’s Example? ‘The City of Yes’ Stimulating Affordable Housing Boom

Many of us would respond with “Big Apple” if asked to quickly cite an example of the New York brand, but maybe a fresh approach to zoning taken called ‘The City of Yes’ could start to rival the place long occupied in our psyche by that image. One example of the shift in approach that one year in is credited with stimulating massive change in the approach and feasibility with respect to affordable housing can be summed up with this quote. “City of Yes created the Universal Affordability Preference program, which replaced the city’s Voluntary Inclusionary Housing program. The program provides a 20 percent density bonus to projects if the extra space is dedicated to permanently affordable housing, which must, on average, be affordable to those earning 60 percent of the area median income.”

An Object Lesson for Politicians Wishing to Make Informed Policy Choices?

This article offers a history-rich, objective analysis of conditions contributing to the physical and financial feasibility of converting older office buildings to apartment use in New York. The

Office Adaptive Reuse Task Force, chaired by the city’s chief planner, explores opportunities but also pitfalls in an environment where the cry ‘housing crisis’ can sometimes be used as a blunt instrument by policy makers. The task force’s emphasis on creating the conditions that actually deliver quality apartments – with sunlight, physical access and more – is an object lesson for officials in Ontario.

Tariffs Said to Be Cause of Project Failures in U.S.

New analysis is pointing the finger at tariffs as a principal cause for rising construction costs – the reason so many developers are abandoning projects – even those with a valuation of $1B.

Is Remote Work Dying? The Answers Will Surprise You

Finally, our links are usually to articles found in the business and mainstream media. This link is an exception – it takes you to a podcast prepared by a specialist consulting firm. The podcast provides a variety of nuanced, different perspectives and is well worth a listen.

“The Occupancy Index is supported by the City of Toronto, Downtown Yonge BIA, and Downtown West BIA. It is a measure of the percentage of office employees returning to the office compared to the number of employees who would normally have come to their offices pre-COVID. For a detailed description of the calculation please contact Iain Dobson at [email protected],”

SRRA Research

November 15, 2025

Occupancy Index

Occupancy Index - November 15, 2025

SRRA Research

November 15, 2025

Occupancy Index

Average weekly - 82%
Peak Day - Wednesday 92%
Low Day - Friday 52%
Prior to the COVID pandemic most companies did not track in-office attendance the way they are today. The assumption was that employees were in the office unless they were traveling on business or away on holidays or other well-established reasons for not being in the office. Planning an employee’s office use was simply a matter of allocating a desk for everyone. This has dramatically changed.
Hotelling, meaning employees do not have the same desk or office everyday, means that employees have to book one when they are in the office. Where a sizeable amount of remote work is permitted hotelling is becoming the norm. In theory this should work, but when employees choose to work remotely on Monday and Friday and return to in-office work in numbers on only Tuesday, Wednesday, and Thursday, hotelling its not working well.
We see the concentration of in-office work in the middle of the week as a serious problem for employers who are trying to maximize their office space. It is also an ongoing issue for transit planning, road congestion and retail sales in the downtown area. More on this in the next Index
Enjoy the ‘Articles of Interest’ below.
Your SRRA team

Links to Articles of Interest

Concerns for Future of Downtown Ottawa Influencing Federal Policy on Remote Work?

Participating in a Mayor’s Breakfast event in Ottawa in mid-December, the prime minister suggested that more detail on the government’s plan to bring federal workers back to the office is “imminent.” Noting Mayor Mark Sutcliffe’s well-known complaints about the negative impact on downtown caused by civil servants working from home, Mr Carney said, “I’m a huge fan of the public service. We need the public service at this critical time, and we need public servants to have all the tools, including offices and workspaces, which make their jobs as interesting, as impactful as possible.” This set off a round of push-back from union representatives, who criticized the prime minister for speaking without their permission.

Avison Young Points to Resurgence for Toronto’s Office Market

The Toronto office market is showing signs of positive activity according to a new report, although companies looking to sign new leases are selective, with “trophy” buildings getting the nod over B and C class buildings, which will “continue to struggle,” the report suggests.

Co-op Housing Making a Comeback Close to Kennedy Subway Station

A massive new co-op project with more than six hundred affordable units close to Kennedy subway station that benefits from the use of city-owned land was announced in December. “We’re back,” said Heather Tremain, executive director of the Co-operative Housing Federation of Toronto’s Development Society, which is a newly formed development arm of the federation, and aimed at leveraging its land trust and operational expertise to create more rental co-op projects. “We are talking to developers about a number of sites; we will put in a submission to Build Canada Homes. We think this is the kickoff,” she said. Federal funding for a co-op project in the city is the first in more than 30 years.

Commitment to Infrastructure Convinced Australian Fund to Open Office in Toronto

Decades after the Australian investor Macquarie tested the infrastructure investment waters in Canada, the Melbourne-based fund manager IFM is set to open an office in downtown Toronto, a decision fueled in part by the government’s high-profile commitment to infrastructure projects.

A Lesson in Economic Development Theory Supplied By American Universities

The power of anchoring economic stability – and increasingly, improving job prospects for graduates hit by the rise of AI –– with real estate investments from universities is being demonstrated in New York City, as colleges seek out well-located quality buildings to house new downtown campuses. The goal is to facilitate connections with employers but also to provide valuable exposure to life! “The classroom isn't just sitting in the classroom. You're in New York City,” a representative of Vanderbilt U noted. “If you're going to take an architecture class, it's not to sit in the classroom to take it. It's actually to experience it, breathe it, live it and understand it fully.”

TTC Acquires “Operational Control” Over Crosstown LRT

After waiting so many years for the Crosstown to enter service, commuters in Toronto can be forgiven for stifling a yawn over what should have been front page news: Metrolinx has completed its safety review and handed “operational control” over to the TTC, prompting speculation about a specific date in the new year for when the first paying passengers can be expected to board.

Widespread Concerns Over Finch LRT Lethargic Performance

With mainstream media rushing to criticize the newly opened Finch LRT over perceived “slowness,” concerns about TTC’s commitment to providing timely, rapid service are mounting. The chatter increased following a Globe and Mail editorial that put the new transit line literally on the national front page with a piece suggesting a jogger could outpace the train over the 10.3 km trip on Finch.

“The Occupancy Index is supported by the City of Toronto, Downtown Yonge BIA, and Downtown West BIA. It is a measure of the percentage of office employees returning to the office compared to the number of employees who would normally have come to their offices pre-COVID. For a detailed description of the calculation please contact Iain Dobson at [email protected],”

SRRA Research

November 1, 2025

Occupancy Index

Occupancy Index - November 1, 2025

SRRA Research

November 1, 2025

Occupancy Index

Average weekly - 82%
Peak Day - Wednesday 92%
Low Day - Friday 53%
The impact of “return to office mandates” may be most closely felt in crowded offices. Many report that there isn’t enough office space to go around on the busy days. Vacancy rates are plummeting in the “AAA” and “A” class buildings forcing some tenants to source new space to accommodate the return spikes.
Through the early days of the pandemic many tenants shed some of their office space, that combined with recent job growth in most sectors is creating unintended consequence. Tenants are finding themselves scrambling to accommodate the return especially mid week.
The full effect of mandates is still not being felt in “C” class space and in the 905. They are reducing vacancy but not in significant numbers. The mandates are driving more back to the office but the space employees enjoyed in the past is not what they used to. More on this in coming editions of the Index.
Enjoy the ‘Articles of Interest’ below.
Your SRRA team

Links to Articles of Interest

The Well to Expand Its Office Portfolio – Allied and RioCan Announcement

Allied and RioCan recently announced the signing of major long-term leases with a mystery tenant (but it’s Canadian) in the Well. “Along with the accelerating lease-up of modern office space at nearby Portland Commons, this will bring thousands of new knowledge workers to King West Village, continuing its transformation into a core office node in downtown Toronto,” the partners said in a joint statement. This seems to build on a “strong” quarter for leasing activity, according to brokers involved in the transaction.

The Unlovely Toronto Star Building Spared from Demolition?

The former home of the Toronto Star is acknowledged as an example of brutalist architecture, completed in the early 1970s, its demise is on pause, as the site’s owners (Pinnacle) investigate the potential to turn it into a hotel and extended-stay apartments, giving new meaning to the concept of “temporary” uses. Construction of a super-tall 106-storey building on the northerly portion of the site continues, having recently passed the 100-storey mark. The newsroom of the Toronto Star, meanwhile, decamped to the Well. Zoning submissions suggest that recent plans to relax the requirement to replace office space with offices led to Pinnacle’s reversal.

51-storey Condo Proposed at Yonge and Sheppard

Once seen as a potential rival to downtown as a hub for transit-accessible offices, Yonge and Sheppard will soon add another residential building to the area.

Pushing Back Against Lawrence Plaza Redevelopment Pits Retail vs Housing

RioCan is also grabbing headlines in Toronto as a result of its locally unpopular plans to redevelop one of the city’s first shopping malls with five or six condo towers to be built in phases over a number of years, allowing “treasured” local businesses to continue over the short-term. Deputy Mayor and local councillor Mike Colle is leading opposition to the proposal.

Is Andy Byford’s New Gig a Plotline for a Netflix Mini-Series?

Toronto transit riders likely have fond memories of Andy Byford, who all too briefly was the TTC’s chief executive (2012-2017)…Several career-moves later, Byford finds himself at Amtrak, charged with responsibility for fixing Penn Station – reportedly America’s busiest transit hub. With promises to “fix” Penn dating back to the presidency of Bill Clinton in 1999, Byford has a task on his hands that makes our “when will it open” experience with Crosstown seem like a walk in the park. Decades after the destruction of the original Penn Station (an architectural gem), and imposition in the 1960s of bedrock-seeking columns to support Madison Square Garden and an office tower that effectively squeezes commuters into a passenger experience that Byford describes as “dark, gloomy, boiling-hot and cramped,” development of Hudson Yards has shifted the centre of gravity for trophy office buildings back to Penn’s neighbourhood. With only one transit hub to deal with, Toronto’s situation is different but are there lessons to be learned in how to manage the ever-lasting chess game of delivering commuters to offices? Stay tuned.

Reaction to Bill 60 – Concentration of Decision-Making Power with the Minister Problematic?

Bill 60 has since been passed at Queen’s Park but a number of its provisions have raised questions about the continued relevance of provincial planning statutes such as the Provincial Policy Statement, with Bill 60 apparently giving the Minister the freedom to override provincial as well as local land use policies.

“London is Back” Realtors Claim as International Investors Push for New Office Development

Ever since the realities of Brexit made themselves known, London’s future as an international banking centre has been in doubt, with office construction hampered by “high taxes, high labour costs and tight regulations…and economic uncertainty.” Fueled by cuts the UK’s interest rate and a “government focus on cutting red tape, the viability of developments has improved,” brokers have suggested. “What we’ve seen this year is the return of a normalised market…similar to pre-COVID,” says one observer.

No Details (as Website locked) But One-Liner from London Suggests TOD Could Face Delays

In contrast to Ontario government plans to push development within walking distance of train stations, a UK expert panel warns that pushing TOD could cause delays in delivery.

London Property Alliance Lobbies Government to Identify Offices as Critical Infrastructure

Details are scant, but Property Week has revealed that despite recent signs of life in the office market, long-term declines in office inventory are seen as undermining the capital’s economy.

“The Occupancy Index is supported by the City of Toronto, Downtown Yonge BIA, and Downtown West BIA. It is a measure of the percentage of office employees returning to the office compared to the number of employees who would normally have come to their offices pre-COVID. For a detailed description of the calculation please contact Iain Dobson at [email protected],”

SRRA Research

October 15, 2025

Occupancy Index

Occupancy Index - October 15, 2025

SRRA Research

October 15, 2025

Occupancy Index

Average weekly - 81%
Peak Day - Wednesday 90%
Low Day - Friday 56%
Fridays and Mondays are becoming much busier in downtown Toronto driving the Occupancy Index up. It isn’t just the Blue Jays winning ways (GO JAYS) but it appears that the mandates driving more in office work is building attendance at the beginning of the week and at the end. This trend is likely a result of mid week congestion on the roads and unacceptable commute times on transit.
We are also hearing stories and getting some data on companies struggling to provide desk space for returning workers. The outcome of this trend will suit commercial property owners and is leading to lower vacancy rates in almost all classes of office space.
Data for early October sees both of these trends continuing.
Enjoy the ‘Articles of Interest’ below.
Your SRRA Team,

Links to Articles of Interest

Pandemic-Era Decision to Move Away in Search of Cheaper Housing Creates Dilemma for Many as Employers Cancel Remote Work Rules

During the pandemic, the sudden opportunity to work remotely saw many office workers looking for less expensive housing relocate further away from their downtown jobs (and also to find better places to accommodate the needs of two family members working from home).Now, with employers moving quickly to require a physical presence in the office once again, the pendulum is swinging back, leaving those who left with a costly dilemma. Caught on the wrong side of a dramatic change in housing prices, some office workers are looking at taking a financial hit to move back to be in closer proximity to their jobs or face impossibly long commutes.

Wild Swings in Average Housing Prices Across Canada Feeding on Uncertainty

Vancouver and Toronto have long been Canada’s least affordable housing markets, but even after significant fluctuations that began during COVID led to lower average prices in those cities, the reality is that housing remains unaffordable for a majority. At the same time, cities such as Calgary, Saskatoon and Moncton, once seen as providing hope for those looking to buy, have seen their average prices climb into unaffordable territory. While the charts displayed in this article are informative, we still await research that makes a direct link between housing costs, job potential, and underlying trends such as remote work.

City of Vancouver to Require Five Days in the Office Starting January

Citing a need to “keep pace” with employer trends across the country showing the demise of hybrid work conditions for office workers, Vancouver’s city manager recently announced that most of the city’s office staff will be required to be in the office five days a week as of January 1, 2026. Union leaders have criticized the move, claiming that there will be “negative impacts on employee health, autonomy, and work-life balance.” Where is the evidence that being in the office full time leads to greater productivity they ask?

Insights from Respected Planner Show “Housing Crisis” Nothing New

The term “housing crisis” has been on everyone’s lips for a while now, but what does this have to do with economic opportunity and the future of work? A new book about the St. Lawrence neighbourhood co-authored by a planner “who had a hand” in creating the place reminds us that there was a declared “housing crisis” some 50 years ago in 1974 when federal, provincial, municipal, non-profit and private sector brains were effectively harnessed to create a brave new world of city-building. How was it possible to create an affordable neighbourhood only a few steps from Bay Street, Canada’s most expensive real estate? Part of the answer is “political will” – evidenced through the role played by reform mayor David Crombie. This article suggests how that link between housing affordability and economic opportunity can be usefully addressed.

Layoffs in Canada’s Banking Community Signal Increasing Complexity Facing C-Suite Whether it is growing uncertainty about the economy, coping with the rise of AI, recent announcements by TD Bank reveal that even our banks are not immune to the whip-saw impacts of global trends. Commenting on a decision to “stagger” return-to-the-office plans while laying off up to two per cent of staff, TD insists that the bank “continues to invest in talent and the capabilities that we need for the future, including substantial investments in front line advice, digital, and AI and data-driven solutions.”

“The Occupancy Index is supported by the City of Toronto, Downtown Yonge BIA, and Downtown West BIA. It is a measure of the percentage of office employees returning to the office compared to the number of employees who would normally have come to their offices pre-COVID. For a detailed description of the calculation please contact Iain Dobson at [email protected],”

SRRA Research

September 15, 2025

Occupancy Index

Occupancy Index - September 15, 2025

SRRA Research

September 15, 2025

Occupancy Index

Average weekly - 79%
Peak Day - Wednesday 89%
Low Day - Friday 54%
The Index is trending upward early in September, and we expect that to continue through the balance of the month and into October.
However, more significantly is the actual number of employees working in office buildings. Office tenants are growing and hiring more people. This combined with less remote work is driving the increase in the total number of employees commuting to the downtown core.
Vacancy rates in downtown office buildings are declining, especially in the “AAA” class buildings. Some are speculating that new office projects may be started in the near future.
Enjoy the ‘Articles of Interest’ below.
Your SRRA Team,

Links to Articles of Interest

Globe Editorial Shows Little Sympathy for Provincial Employees Told to Return to the Office

Although tempered with incisive commentary on the folly of “blanket” one size fits all RTO mandates, the challenge of too few desks for returning workers and the always popular “commutes are too long and arduous,” Canada’s national newspaper left little doubt where its sympathies lie went it comes to the push to get workers back in the office. With juicy quotes offered up by union leaders (“Why are we going back to the Stone Age?”), the hyperbole wars are ramping up, with advocates choosing sides for and against. The reality (suggested by Occupancy Index trends is closer to the middle ground. Stay tuned for more dramatic headlines this Fall!

Brave Consultant Puts a Dollar Figure on the Cost of Returning to the Office

It takes an experienced hand to dare to put a number against the complaints emanating from returning office workers. “Financial educator Eduek Brooks estimates the cost of returning to the office five days a week could range anywhere between $800 and $1,000 per month. Her calculation includes driving to work, paying for parking and eating out a few times a week as well as additional costs such as buying new clothing and beauty products.” All figures in Canadian dollars! And this doesn’t take account of childcare costs for those who had been able to juggle work and minding young children.

Crosstown Still No Closer to Opening Day?

With regular updates pushing likely start dates for Crosstown further and further back, and worries about the Finch LRT as well, downtown BIAs could well be starting to worry about the plight of their street front businesses affected by construction of the Ontario line. Scheduled to open in 2031 (originally 2027 then 2030 and now 2031), how long will it be before the timeline stretches out even further? The signs promising ‘business as usual during construction’ are still gracing storefronts on Eglinton that bit the dust years ago. Tracing the impact on businesses affected by the Ontario line could be next.

Financial Sector to New York: We’re Taking a Hike

New York still generates the best headlines. Who can forget “Ford to City: Drop Dead,” dating back to New York’s flirtation with bankruptcy during the era of Gerald Ford? Today’s stories are focused on New York no longer being the centre of the universe, with columnists dipping into the character pool focused on ‘masters of the universe’ financial whizz kids, generated by Tom Wolfe. It seems that New York is leaking head offices, specifically those in the financial sector who are departing for lower tax environments. Couple this trend with a growing disdain among the voting public (apparently) for billionaires, and the upcoming mayoralty election could prove interesting.

This Headline Written By a Human – We Promise

It seems that just as New York is reportedly losing companies focused on financial services, the midtown area is seeing a giant spike in companies filling entire floors with people to implement AI.

Washington Bears the Brunt of Government Shutdown

Although the loss of paychecks is widespread, the combination of a high concentration of federal workers and the still emerging effect of mass layoffs is having a COVID-like impact on Washington’s commercial sector, with foot traffic dropping off and predictable knock on impacts on restaurants and other small business owners.

“The Occupancy Index is supported by the City of Toronto, Downtown Yonge BIA, and Downtown West BIA. It is a measure of the percentage of office employees returning to the office compared to the number of employees who would normally have come to their offices pre-COVID. For a detailed description of the calculation please contact Iain Dobson at [email protected],”

SRRA Research

September 1, 2025

Occupancy Index

Occupancy Index - September 1, 2025

SRRA Research

September 1, 2025

Occupancy Index

Average weekly - 76%
Peak Day - Wednesday 87%
Low Day - Friday 47%
It is not surprising that since remote work became possible for many during COVID that the summer months have not reflected the increased desire of employers to have more in office attendance. The data reflects this trend. Fridays and Mondays continue to be poor attendance days. At the same time mid-week attendance this summer remains unchanged in the high 80% range.
For mandates calling for more than 75% in-office work to be successful there will have to be an increase in office attendance on Mondays and Fridays. Early data for the first two weeks of September suggests this may be the case.
Enjoy the Articles of Interest below
Your SRRA Team,

Links to Articles of Interest

Financial District BIA Supports Baby Love Beginnings – PATH Event Coincided with Increased Foot Traffic as Workers Return to the Office

With multiple companies pulling their employees back to the office more days a week, foot traffic is steadily increasing in the PATH. The Financial District BIA chose “Diaper Awareness Week” to show their support for “Baby Love Beginnings,” a local charity dedicated to providing diapers to the one in five Toronto families struggling with “diaper need” – a problem that causes 60 per cent of parents in this situation to miss work or school every month. The Financial District BIA (along with Downtown Yonge and Downtown West) was one of six downtown BIAs that helped launch the Occupancy Index with their investment in SRRA back in 2020. Today, the Index is “delivered” to more than 3,000 regular readers every month.

Read Article Here. and Read Article Here.

Moms Bear the Brunt of Back to the Office Mandates

The impact of having to give up on hybrid work is being felt by office workers in communities across Ontario. While the focus tends to be on what is happening in the province’s largest office market in downtown Toronto, workers in small communities – particularly working moms – are also feeling the pinch. Should the priority be on doing the best job or being the best mom? Time will tell.

Confusion in the Ranks – Mixed Messages on Rationale for Dumping Federal Office Space?

An ambitious plan to sell off or lease 50 per cent of the government’s office space by 2034 is being dialed back as the reality of trying to achieve that target while also demanding that workers spend more days in the office becomes clear. But is the driver just to achieve financial goals or to prompt more efficient use of space? How does reducing the federal office footprint square with comments made elsewhere that suggest a desire to reverse the negative impact that fewer office workers have on the vibrancy of Ottawa’s downtown? As civil service unions continue their campaign against a return-to-the-office mandate, the government will need to look closely at its messaging.

Ontario’s Public Servants Protest “Draconian” Requirement to Return to the Office Full-Time

Noisy protests grab the headlines, but it is worth digging into reporting below the fold to tease out the cons to counter the pros when it comes to inflexible mandates. With union leaders advising their members to seek “alternative” arrangements for situations where a strong case can be made to continue with hybrid work, the coming months are likely to see claims on both sides of the argument in support or criticizing the push to be in the office five days a week – the current demand from the provincial government come January.

Are Employees with Long Commutes More Tired and Less Engaged?

Complaints about the trials of long commutes are nothing new, but HR specialists are seeing an uptick in complaints and changes in how workers manage sick days. Wanting to preserve precious sick days could result in people coming into the office when everyone would be better off if they stayed home. For younger staff whose work experience began during the COVID era, these are proving to be challenging times. Experts advise doing an “Impact assessment” before introducing one-size fits all RTO mandates.

Super Tall Towers Changing Toronto’s Skyline

With 11 “super tall” structures in progress, Toronto is belatedly joining the cluster of cities around the world that have buildings 300 m and higher. While most of the local breed are condos with hotel space in some of them. Fascinating that the promo materials for such buildings use the word ‘community’ extensively. Not too much demand for office space at the 90th storey!

“The Occupancy Index is supported by the City of Toronto, Downtown Yonge BIA, and Downtown West BIA. It is a measure of the percentage of office employees returning to the office compared to the number of employees who would normally have come to their offices pre-COVID. For a detailed description of the calculation please contact Iain Dobson at [email protected],”

SRRA Research

August 15, 2025

Occupancy Index

Occupancy Index - August 15, 2025

SRRA Research

August 15, 2025

Occupancy Index

Average weekly - 78%
Peak Day - Wednesday 87%
Low Day - Friday 52%
Fall has become the time when companies and their employees change the amount of time spent in the office. In 2023, 2924, and this year to date, the Index shows little change between May and September, however, in the Fall policy and the way it is implemented has resulted in an increase in in-office hours per week.
Many companies have announced new policy, some with a component of remote work and some suggesting that by the end of 2026 little if any remote work will be permitted.
Given the number of companies who are not requiring change at this time, we still see the Index peeking at between 80% and 85% by Christmas and beyond. We shall see if this is the case as the data comes in..
Enjoy the Articles of Interest below
Your SRRA Team,

Links to Articles of Interest

“The worm has turned,” says the Leader of a Major Asset Management Company

With many companies calling for employees to return to the office more days of the week, the race to find enough desk space for returning employees is heating up. A full 180 from conditions a couple of years ago, brokers are reporting an uptick in enquiries for leasing large blocks of space, allowing landlords to dial down incentives for the first time since 2020. The new towers that came on stream during COVID and shortly after are seeing high levels of demand, which is having a positive knock on effect on prospects for older properties.

Back to the Office Full-Time? The List of Organizations Demanding Five Days in the Office Continues to Grow

Led by the banks, the federal government and more recently the province, the list of companies and publicly-funded institutions calling for – and even demanding – a return to pre-COVID standards whereby an office job meant that you actually worked in an office is growing. So too are complaints about the time lost and high financial cost of commuting. Small businessowners whose trade disappeared over night when office workers stopped coming downtown are being counselled to think out of the lunch box to woo former customers back. Some are wondering where they will find staff if the number of students living downtown doesn’t rebound as well.

Former Chief Planner Suggests That “Back to Office” Mandates Will Make Toronto’s Traffic Problems Even Worse

“Even before return-to-office mandates take effect, experts say vehicle traffic in the city is at a tipping point, while delays, construction and public safety concerns plague the public transit system.” This is the opinion of someone more than familiar with the many factors affecting Toronto’s mobility, Jennifer Keesmaat. Her worry, echoed by the Toronto Board of Trade and others, is that unacceptable levels of overcrowding (and safety concerns) on transit will persuade more commuters to drive, With municipal elections just over a year away, will the drum beat from potential mayoralty candidates drown out the voices offering realistic solutions?

Amenities Can Help the Transition Back to In-Office But Can Only Go So Far

Coffee companies have a vested interest in promoting investments that position good quality coffee stations as a replacement for old-fashioned water coolers to stimulate casual conversations as part of the push to encourage workers to return to the office. But landlords suggest this and comparable trends such as mini-spas and other incentives could make sense, noting that not everyone is happy about having to turn up at the office after years of remote work conditions. There is also a powerful argument to be made that it is also up to the employer to demonstrate in tangible ways why being back in the office is worth giving up the flexibility of hybrid work. ‘Better office culture,’ ‘innovation,’ and ‘productivity’ will remain as buzzwords unless employers think through and implement concrete actions to emphasize the benefits of returning to the office for the workers themselves.
Read Article Here.

Globe and Mail Offers Up a Less Than Objective Viewpoint on Return to the Office Mandates

London-based Bruce Daisley works with many high profile “big brands” on the “future of work,” but also finds the time to deliver keynotes to promote a perspective that sees “return to work in the office mandates” as yesterday’s news. To be fair, employers that push four or even five days as the basis for a productive work place environment but forget to provide staff with a place to actually do their work are easy targets. He believes “hybrid is here to stay.” The Globe prints it so it must be true, right?

The U.S. is “Escaping” its Office Crisis – The Economist

The “torment caused by COVID-19 and high interest rates appears to be over,” reports the Economist. The perfect storm that launched five years of misery for office landlords and investors seems to be clearing, as commercial office real estate starts to see a turnaround.

“The Occupancy Index is supported by the City of Toronto, Downtown Yonge BIA, and Downtown West BIA. It is a measure of the percentage of office employees returning to the office compared to the number of employees who would normally have come to their offices pre-COVID. For a detailed description of the calculation please contact Iain Dobson at [email protected],”

SRRA Research

August 1, 2025

Occupancy Index

Occupancy Index - August 1, 2025

SRRA Research

August 1, 2025

Occupancy Index

Average weekly - 78%
Peak Day - Wednesday 87%
Low Day - Friday 52%
An increasing number of institutional employers are requiring more in-office attendance. Mandate announcements are being made almost daily, (see the Articles of Interest section below), this is not a new phenomenon. Summer has been the season for return to the office mandates since the beginning of COVID. Many of those early mandates to return to in-office work never materialized as intended.
This Fall may be different, Many of today’s mandates are qualified with a component of remote work permitted. The impact on the Index may not be much more than a modest increase, however, many of these mandates also suggest that remote work will be severely curtailed in 2026.
Enjoy the Articles of Interest below
Your SRRA Team,

Links to Articles of Interest

Canada’s Banks Stand on RTO No Longer an Isolated Case

Now that the Ontario government has moved the goalposts to the other end of the field, Canada’s banks are no longer finding themselves isolated from the mainstream. As RTO policies continue to experience bumps (such as not having sufficient spots for returning workers to work!) it is the HR professionals whose ascendance in the decision-making pecking order during COVID may be suffering, with evidence (cited in the article) below that the HR role is increasingly focused on mitigating C-suite decisions.

British Companies See Signs that Remote Work is Waning

As the economy shows increasing signs of stagnation in the face of global uncertainty, the latest trends from the U.K. suggest that support for remote work is waning. Question marks abound. Chamber of Commerce surveys show that companies want to put remote work into the dustbin of corporate policy, while a sizeable percentage of workers appear ready to quit rather than submit to attempts to force them back into the office.

Mcrosoft Looks to Join Other Tech Giants By Revoking Flexible Working Rules

Citing a need to stay competitive, Microsoft, which to date has been one of the most lenient corporate giants to allow staff to work from home, appears to be tightening its grip on worker flexibility.

Controversial Policy from Australia’s State of Victoria Gets a Negative Reaction

One jurisdiction in Australia is seeking to confirm its considerable influence on the job market by introducing legislation requiring companies to allow employees to work from home should they wish to do so. Not surprisingly, reaction from the private sector has been swift and unequivocal. The situation is fraught, however, as the State employs a disproportionate percentage of all office workers.

Will Uncertainty Become the New Normal?

Actions taken by the current U.S. administration appear to have spooked companies across the globe, with growing evidence that fewer firms are actively hiring new staff, with many officially declaring a hiring freeze. This is a stark contrast to the days of COVID when workers felt able to quit, with employees deciding to play it safe and stay put. Will companies this side of the border reflect these global trends for the foreseeable future?

Big Apple Office Market Showing Resilience and Faster Recovery Than Most

With wild swings up, down and sideways, the U.S. office market has been experiencing significant surges and declines since the pandemic was declared over. The latest indicator that the Big Apple is more resilient than smaller regional markets is a decision by J.P. Morgan to centralize a massive percentage of office staff in new digs.

Provincial Government Mandate Announcement

Premier Doug Ford’s announcement in early August caused fewer ripples than might have been expected. The “big return” begins in this Fall with four days mandatory, then starting in 2026, Ontario’s public service will be expected to turn up to their offices five days a week. The announcement took CUPE by surprise, (see second link).

Read Article Here. and Read Article Here.

“The Occupancy Index is supported by the City of Toronto, Downtown Yonge BIA, and Downtown West BIA. It is a measure of the percentage of office employees returning to the office compared to the number of employees who would normally have come to their offices pre-COVID. For a detailed description of the calculation please contact Iain Dobson at [email protected],”

SRRA Research

July 15, 2025

Occupancy Index

Occupancy Index - July 15, 2025

SRRA Research

July 15, 2025

Occupancy Index

Average weekly - 78%
Peak Day - Wednesday 87%
Low Day - Friday 51%
No statistically relevant change to the Index through the middle of July. We do adjust the Index to account for summer holidays as we have in previous years. The Index reflects the percentage of those who are working and not absent for traditional reasons. We expect this to continue through to the middle of August. Overall foot traffic and transit use by commuters is lower but not as a result of increased remote work.
We are tracking new tenancies and, as reported in the last Index, tenants who are expanding their office footprint and hiring new employees appear to be building into their plans a factor for some remote work. This would indicate that occupancy levels in leased office space may be higher than pre-pandemic occupancy because the remote workforce isn’t calculated into the amount of leased office space.
If this trend continues as companies reconfigure their office needs, the Occupancy Index will increase as will the aggregate number of employees working downtown.
Enjoy the Articles of Interest below
Your SRRA Team,

Links to Articles of Interest

Focus on Housing Could Affect Future Economic Growth – Vancouver a Cautionary Tale?

For veteran planners, attempts to stave off demands to convert “industrial” land to housing is an age-old problem. The current obsession with looking at all “employment lands” as potential housing sites is playing out in many cities. The Vancouver experience could be the canary in the mine for Toronto, as pressures to find sites that qualify as “transit-oriented” mount.

Musical Chairs: Bay Street Workers Challenged to Find Desk Space as Return to the Office Gains Momentum

Although Canadian banks have led the charge to require employees to return to the office, the reality has proved to be less than ideal, with staff scrambling to find the right space for their needs. The timeframe for sorting this out could have an impact on the successful implementation of the RTO mandates.

Stark Warning for Employers from an International Law Firm

Chances are that the opinions expressed in this article would be interpreted differently in North America (particularly the U.S.) – but worth a look to see how arguments to defend against RTO mandates could play out.

A Credible Alternative to Dealing With Empty Office Space

Calgary has experienced more significant vacancy levels than most Canadian cities, resulting in city-led programs to facilitate conversions where they make sense. This article details how the University of Calgary has taken the opportunity to relocate its design and planning departments to downtown from a suburban location that didn’t provide the right kind of learning environment. In the Dean’s words, “The (school) should be downtown because, in the same way that a medical school is located near a hospital, a design school needs to be integrated into the workings of the city.”

“The Occupancy Index is supported by the City of Toronto, Downtown Yonge BIA, and Downtown West BIA. It is a measure of the percentage of office employees returning to the office compared to the number of employees who would normally have come to their offices pre-COVID. For a detailed description of the calculation please contact Iain Dobson at [email protected],”

SRRA Research

July 1, 2025

Occupancy Index

Occupancy Index - July 1, 2025

SRRA Research

July 1, 2025

Occupancy Index

Average weekly - 77%
Peak Day - Wednesday 86%
Low Day - Friday 50%
Office leasing activity especially in the “AAA” class buildings has increased in the first 6 months of 2025 which will lead to greater occupancy levels in the Fall. New tenants have already factored in remote work and have adjusted occupancy accordingly. The result of more leased space in the downtown will be higher levels of actual occupancy.
Traditional institutional tenants are planning more in-office work this Fall and, in some cases, this will put pressure on their office space needs. This trend will not immediately impact the Index this summer, but the increased leasing activity will lead to more people coming downtown to work.
This is good news for transit operators, retailers servicing the core and the market for condos. More on this trend throughout the summer.
Enjoy the Articles of Interest below
Your SRRA Team,

Links to Articles of Interest

Hard Questions About Government Responsibilities to Support Ottawa’s Downtown

Governments everywhere have long had a passion for making bold decisions to relocate their employees out of central areas to achieve diversification goals. This is true in the UK, Australia, the EU as well as in Ontario. What we rarely see is government real estate policy creating economic havoc to the extent described in this article. Is Ottawa a situation where government procurement officers with an eye to their balance sheets have been allowed to rule the roost while the mandarins have been focused elsewhere? Even when economic hardship was rife in the UK during COVID, that government’s longstanding policy to “level up” the economies of cities suffering from systematic decline, the UK government never abandoned its fundamental role to the nation’s capital.

The Age of Hybrid Work Could be Over According to Fortune 100 CEOs

Just two years ago, only five per cent of CEOs had issued ‘return to work’ mandates. Today, according to the latest survey representing the Fortune 100, that percentage has swung heavily in favour of in-office work, with more than half of CEOs polled on the topic saying that hybrid and variations on the theme were as good as over. In the next six to 12 months, can we anticipate a renewed emphasis on how landlords and employers manage their office space? Underlying and perhaps undermining the views of corporate leaders, until a new equilibrium has been established, articles like these will be accompanied by complaints from workers who can’t find adequate workspace when they return to the office.

Momentum Building for More Extensive In-Office Time for “Desk Workers”

As is often the case, Canada’s banks have been slowly and then with more intensity pushing the pendulum back to more employees back in the office. “This desire to have a culture that is more cohesive, and that effectively supports what the business is trying to do strategically,” is just one of the justifications cited in this article. But as noted above, more work will be needed to make sure that workers encounter the right conditions when they do come back to the office. A continuing and a problem that can’t be overcome is that we entered the COVID years without any solid benchmarks of office productivity.

“Research” Showing the Opposite Perspective: Canadian Workers Who Hate Being in the Office Can Always Find Supporters

A curious common denominator applicable to articles and commentary that feature proponents of hybrid and remote work is that individuals chosen to add their thoughts in brief news clips (for example) tend to focus on works for them – not their employer. These comments tend to block out a more nuanced reality, which is that views on levels of productivity depend heavily on the type of work being carried out. This article is interesting because it features employees living and working outside of large centres.

Four-Day Work Weeks: Is This the Latest Alternative in the Quest for Improved Productivity?

Four-day weeks have been shown to be effective for essential workers like nurses, emergency workers, and even the people who collect our garbage. The difference between those examples and the philosophy advocated in this article is that the former examples build their four-days around 12-hour shifts. Nevertheless, a multi-country survey with thousands of workers can’t be ignored. Let SRRA know your response to this!

“The Occupancy Index is supported by the City of Toronto, Downtown Yonge BIA, and Downtown West BIA. It is a measure of the percentage of office employees returning to the office compared to the number of employees who would normally have come to their offices pre-COVID. For a detailed description of the calculation please contact Iain Dobson at [email protected],”

SRRA Research

June 15, 2025

Occupancy Index

Occupancy Index - June 15, 2025

SRRA Research

June 15, 2025

Occupancy Index

Average weekly - 77%
Peak Day - Wednesday 87%
Low Day - Friday 49%
We have been reporting a levelling off in the last 3 months and it continues. This is not surprising and follows a pattern similar to 2023 and 2024.
Two trends are emerging. Some in-office employees are not spending the entire day in the office choosing to complete tasks at home and travelling during traditional off-peak hours. This trend is not impacting the Index, but it is shifting the flow of commuter travel from traditional hours to earlier in the afternoon and later in the morning.
The second trend, the relaxation of return to the office mandates during the summer is not new either. We have observed this trend before, however, that was when the Index was much lower and the threat of returning COVID meant that the mandated returns did not fully materialize. This time may be different. Through the summer we will dig deeper into the numbers to see where an increase may occur.
Early June data continues to see a leveling off of in-office work.
Your SRRA Team,

Links to Articles of Interest

Experiments with Remote and Hybrid Work Arrangements to Peter Out Within Three Years – Survey

A new survey of Canadian CEOs by KPMG suggests that most – 83 per cent – expect that their staff will be back in the office five days a week within three years, a massive increase over their views just two years ago, when only 55 per cent were voicing that opinion. The driver, according to the principal researcher, is “office culture” and the desire to preserve (or re-kindle).

Foot Traffic in Canada’s Urban Cores Still Below Pre-Pandemic Levels

Trusted data experts Environics have pulled together data from downtowns across Canada and conclude that although more people are coming back to the office, the level of foot traffic overall is still way lower than before the pandemic. In Toronto, where SRRA has been tracking office occupancy for the past five years, showing a steady increase in occupancy over time since March 2020, Environics reports that downtown Toronto foot traffic today is 43 per cent lower than comparable measurements in January 2020.

Did We Catch You Napping? Study Suggests We Might Have

Working remotely in the comfort of one’s home has many advantages, but without the stimulation of conversations and interaction with colleagues in the cubicle next door, perhaps taking a quick nap during the workday proves irresistible. The study by Amerisleep concludes that as many as 60 per cent of Gen Z remote workers nod off from time to time, adding up to a whapping nine full days on an annual basis!

College Park to Be Re-Imagined with Three “Skyscrapers”

In a first for a promotional article revealing redevelopment plans in downtown Toronto, this article sets out a plan for three “skyscrapers” that anticipate incorporating more than facades into the classic Art Deco College Park without bothering to say that the new towers will be condominiums. Of course they will! More than 2,000 new condos, in fact. The article also failed to say how many storeys are being sought during the approval process under way. They will be “very tall.” No office space is being replaced, according to the article.

London’s Office Market Shows Signs of Recovery

Although there is still lots of space available, the laws of supply and demand are being revealed to still be functional according to experts, who reference changing interest rates as a key factor. An important indicator of change, they say, is the revival of rents for B class space.

Energy Targets Likely to be Missed in UK’s Office Market

Minimum Energy Efficiency Standards (MEES) established by the government to require landlords to upgrade their buildings will not be met, according to latest estimates. In addition to costs of compliance in a tough office market, much of the UK’s stock is ill-suited to accept modern standards.

Cat Got Your Tongue? Study Suggests Having an Office Cat Keeps Workers Happier

The original reason for keeping a cat in the office was probably linked to keeping rodents and pests under control. These days the driver may be improved mental health!

“The Occupancy Index is supported by the City of Toronto, Downtown Yonge BIA, and Downtown West BIA. It is a measure of the percentage of office employees returning to the office compared to the number of employees who would normally have come to their offices pre-COVID. For a detailed description of the calculation please contact Iain Dobson at [email protected],”

SRRA Research

June 1, 2025

Occupancy Index

Occupancy Index - June 1, 2025

SRRA Research

June 1, 2025

Occupancy Index

Average weekly - 78%
Peak Day - Wednesday 87%
Low Day - Friday 52%
The index is beginning to show signs of levelling in the last 3 months. Ridership on the downtown subway line 1, is also showing signs of leveling off. While ridership elsewhere is almost back to pre-COVID use. More importantly, time spend in the office during the workday has become more irregular. People are either coming in off or leaving during nontraditional peak traffic hours. The old 9-to-5 norm is clearly changing as a result of flexible time in the office. This is leading to new peak times for auto traffic and subway use.
Hotly debated in recent articles of interest and interviews is the changing approach to remote work in highly competitive financial services sector in urban markets like New York, London, Paris, San Francisco and Toronto especially amongst new workers in the workplace. Expect this trend to heighten as CEOs demand more in-office work putting pressure on more established workers.
Early June data continues to see a leveling off of in-office work.
Your SRRA Team,

Links to Articles of Interest

Canadian Tire and Oxford/OMERS Investment Signals Support for Centrally-Located Offices

Retrofitting existing office space is worthy of a $200M investment, according to Blake Hutchison, president and CEO, OMERS. “This Canadian-led partnership includes a 550,000 square foot, 20-year office lease with CTC, demonstrates the enduring appeal of centrally located, transit-connected workplaces and representing a major investment in Toronto's urban core,” said Hutchison. The redevelopment of 2180 and 2200 Yonge Street represents a combined investment of over $200 million by Canada Square co-owners Oxford and CT REIT. “The two office towers will be retrofitted to deliver 680,000 square feet of highly functional and modernized office space, over 80% of which will be anchored by CTC. Having operated its head office at Canada Square for over 50 years, CTC is also investing to build a next-generation headquarters for thousands of employees,” said Canadian Tire’s president.

The Debate Continues: Buyer’s Remorse for Hybrid Work Conditions?

The results of an in-depth survey probing the effectiveness of hybrid work arrangements concludes that the “new normal” isn’t working for many employees and their employers. But many companies that would like to revert to a previous normal where people actually came to work in an office no longer have that option, having let their offices go in the rush to go fully remote. Readers of this space will have seen many swings of the pendulum since March 2020. If, however, you are willing to devote ten minutes to consume yet another article on the topic, we recommend that this could be time well spent. New hires suffer. Collaboration and learning levels drop. Meetings are less effective. The wrong people get promoted. Culture deteriorates. Loyalty/commitment to the firm weakens. People remain socially isolated. The list goes on: but the article also suggests short-term fixes until you can find new office space.

Scotiabank the Latest to Bring Workers Back Four Days a Week

For employees in the Greater Toronto Area, the call to return to the office for four days most likely was no surprise. “We know having our teams working together in-person has many benefits — greater collaboration, higher engagement, more career development opportunities and a stronger culture and sense of belonging,” said spokesperson Katie Raskina, in an emailed statement to Benefits Canada.

Read Article Here..

But Consultant Warns that Banks First Need to Re-Establish Quality Office Space

From the desk of someone who knows what he is talking about comes a hard-hitting memo to banker C-Suites. If you’re serious about wanting staff back in the office, ditch hoteling and start creating places people actually want to gather in. “Effective communication is crucial to execution, sustaining a positive work culture and stamping out toxic work behaviours that undercut performance,” suggests the Globe’s columnist – who also happens to be a regulatory compliance consultant and banking historian. He bolsters his own views with reference to a peer-reviewed Harvard study showing a significant drop in productivity linked to hybrid and remote work.

Read Article Here..

Toronto Still Struggling to Make Sense of Employment Lands Conflicts

Advocates for creating affordable housing are storming the procedural barricades, where planners constrained with having to defend policies designed to protect employment lands are increasingly finding their backs against the wall. The latest dispute involves a project proposed for Etobicoke but is complicated by shifting requirements imposed by the province as well as dealing with legacy issues that defined “employment lands” very broadly to include large format retail. A city statement provides an insight into the dilemma. “City Planning balances the provincial direction to protect economically vital employment areas with the City’s housing objectives,” the statement said. “Over the last few years ... staff reviewed over 150 requests for conversion on employment lands and recommended 64 conversions to allow residential uses to Council, which typically have affordable housing requirements.”

JP Morgan Confesses to Have Underestimated Its Need for Office Space by 7000 desks

Good news for Canary Wharf: After years of cutting back, the banking behemoth is set to commit to a large swath of new space in one of London’s premier locations.

We-Work – a Phoenix Among Real Estate Plays Rises from the Ashes

Two years after its latest flirtation with bankruptcy. We-Work is once again adding locations throughout North America, including Canada. Dubbed the “brand that refused to die,” We-Work is gaining traction as an alternative for companies unwilling to invest in their own real estate.

“The Occupancy Index is supported by the City of Toronto, Downtown Yonge BIA, and Downtown West BIA. It is a measure of the percentage of office employees returning to the office compared to the number of employees who would normally have come to their offices pre-COVID. For a detailed description of the calculation please contact Iain Dobson at [email protected],”

SRRA Research

May 15, 2025

Occupancy Index

Occupancy Index - May 15, 2025

SRRA Research

May 15, 2025

Occupancy Index

Average weekly - 79%
Peak Day - Wednesday 89%
Low Day - Friday 55%
The ‘Articles of Interest’ section below provides examples of the continuing struggle by employers to reduce remote work and the impact of remote work on converting redundant class “C” office buildings. Repurposing outdated office structures is not new, however, the post COVID environment tends to attribute conversions to remote work. The Articles on this subject all involve buildings which were heading toward conversion before increase of remote work.
The Index at 79% of in-office work relative to pre-COVID levels is likely to remain at close to this number throughout the summer. Change in September, if it comes, will likely occur in companies who are substantially below this number currently. Stay tuned…
Your SRRA Team,

Links to Articles of Interest

RBC Sets Tougher Direction for Working in the Office – Minimum Four Days to be Required

Four days in the office will be the new standard for RBC employees, according to sources. Using now familiar code language to describe corporate unhappiness with not having staff visible to management, RBC is said to be changing the game post-Labour Day for employees, who have gotten comfortable working from home. “RBC is a relationship-driven bank and in person, human connection is core to our winning culture,” said a spokesperson. But it is no secret – especially for anyone who has been reading these links since the pandemic defined a new reality for the workplace – that CEO Dave McKay has been itching to make this move. Will other institutions follow RBC’s lead?

What Could Canada Learn from U.K. Experience with Office Conversions?

Just like Canada, the U.K. has a housing crisis, radical responses to which include building on the historic greenbelt around London. What is very different in the U.K., however, is the approach taken to converting redundant office buildings. A new CBRE report details plans for massive increases in the amount of square footage to be converted in London but also in university towns. The most common new uses are life sciences and educational spaces. Residential conversions are way down the list, and most of those are for student residences. Is this a pattern that Canada should pay attention to?

New Eglinton Avenue Condo Tower Replaces Aging 11-storey Office Building

Located mid-block on the north side of Eglinton between Yonge and Mt Pleasant, an area once planned as a growth centre, the building will provide 555 condos, more than half of which will be one-bedroom. Perhaps the recent Statscan finding that nearly 30 per cent of Canadian households are one-person households now was an influence on the unit mix?

U.S. Office Inventory to See More Demolition and Conversion Than New Construction

This could be one of those headlines that we will be remembering in years to come. For the first time this century, according to CBRE, the U.S. market is constructing less office space than is being lost to demolition and conversions. Think back to pre-COVID days, and you may recall that SRRA, with its unique proprietary inventory of the region’s office space, would frequently call attention to situations in Toronto where areas designated for growth were actually losing ground to the relentless move to redevelop lower-ranked office buildings for condos. The value of quality data has never been more important when it comes to spotting important trends.

New York to U.S. Government – Hands Off Funds Supporting Congestion Pricing

The latest round in the fight between New York and the White House over congestion pricing went to New York on points, with a court-ordered ban on attempts to scuttle the MTA’s approach to congestion pricing.

New Renter Survey Results Suggest “Smart” Amenities a Priority

Although the survey covers American renter perspectives, the findings could well be helpful for developers on this side of the border. Priority should be given to things that make places safer, more efficient and comfortable- A majority of prospective renters “now expect smart locks, thermostats, and security cameras as standard in a modern rental.” If amenities like pools and exercise facilities can be found in the neighbourhood, why clutter up the pro forma with things that people don’t really value? What would a comparable Canadian survey show? In Toronto, the list could include fewer parking spots or a willingness to pay more for energy efficiency.

Developers Roll the Dice for Apartments in New York’s Game of Real Estate Monopoly

For fans of the storied board game, Atlantic Avenue has a special connotation – especially for players who like stock up on mortgage-heavy real estate assets. A recent change of heart in Brooklyn zoning regulations is set to replace an entrenched but seedy commercial-industrial corridor with medium-density apartments. Could this influence thinking about replacing employment lands closer to home?

Major Office Tower at Times Square to be Converted to Residential

Taking advantage of the city’s ‘Office Conversion Accelerator’ fund, a million square foot office towner in one of the most visible locations in New York is to be converted to residential. This is seen less as an indictment of office market prospects and more as an example of the city’s real estate Monopoly games as growth shifts to other parts of Manhattan.

New York Decision to Invest a New Bus Terminal Decades in the Making

Any project with a price tag of $10B is bound to attract attention but in a city most often associated with commuter rail and subways, the role of buses is getting a fresh impetus. The current bus terminal has been called “the worst place on planet earth” but the introduction of smart new electric buses helped push support for the project over the finish line (or is that the starting line?).

Congestion solutions continue to be debated

Solutions to congestion are few and far between. John Lorinc that echoes proposals made by SRRA to take advantage of assets hiding in plain sight (like Quick Relief).

“The Occupancy Index is supported by the City of Toronto, Downtown Yonge BIA, and Downtown West BIA. It is a measure of the percentage of office employees returning to the office compared to the number of employees who would normally have come to their offices pre-COVID. For a detailed description of the calculation please contact Iain Dobson at [email protected],”

SRRA Research

May 1, 2025

Occupancy Index

Occupancy Index - May 1, 2025

SRRA Research

May 1, 2025

Occupancy Index

Average weekly - 78%
Peak Day - Wednesday 89%
Low Day - Friday 50%
Policy governing where you work is maturing in most organizations. The advocates of remote work and those who believe in more in-office work are starting to reach a medium ground. Prior to COVID the estimate of work done remotely by office workers was 5%. Some new economy employers permitted significant percentage of remote work and traditional organizations permitted none.
Based on the data to date, we can see the majority of companies who rely on work done in offices now permitting some remote work on an ongoing basis with the average amount of remote work growing to at least 15% over all companies. That number could easily reach 25%. At 78% the current Index for Toronto indicates the amount of remote work done by office-based employees could become a permanent change from before COVID of over 20%.
Your SRRA Team,

Links to Articles of Interest

Major Australian Study “Unequivocal” – Working From Home an Overall Benefit

In a study that began before the pandemic, researchers in Australia confirm that employees are happier and more productive when the have the flexibility to work from home. While for some there continues to be debate about productivity, the study found that healthier diets, and a better work-life balance contribute to improved performance and team cohesion.

Quotes from a Leading Architectural Practice Worth Considering

“The foundation of a great workplace is its ability to drive productivity. Productivity has changed radically and so the workplace is changing as well. Two of the greatest impacts on the workplace have been the rise of distributed and asynchronous working – trends fuelled by technology and accelerated by the pandemic. No longer do we need to be in the same place at the same time to be working on the same undertaking. We can collaborate on projects in different countries and in different time zones.

Politics Aside, National League of Cities Pushing for Investment in Infrastructure

The National League of Cities is already hard at work lobbying Congress for the next round of surface transportation investments to the tune of a trillion dollars.

No Substitute for Quality – “Trophy” Office Landlords Not Worried About Tariff Threats

Amid the confusion and doubt, New York’s blue-chip landlords are sending out positive vibes, declaring that their lease deals are solid – owing in large part to the long-term quality of their buildings and premium locations. One hope that similar thoughts are being thought in Toronto’s office market.

Toronto’s Future Skyline Taking Shape? New Towers Announced Adjacent to Crosstown

Years from now, keen observers will be able to pick out the route of the Crosstown from the air by spotting a pattern of tall condos built adjacent to the glass box stations. The latest announcement is a 43-storey condo at Caledonia, one of several very tall towers proposed in the neighbourhood, with several likely to top 50+ storeys. A majority of the 600+ units of the latest project will be one-bedroom, calling into question who will be in the market for more shoe boxes in the sky.

“The Occupancy Index is supported by the City of Toronto, Downtown Yonge BIA, and Downtown West BIA. It is a measure of the percentage of office employees returning to the office compared to the number of employees who would normally have come to their offices pre-COVID. For a detailed description of the calculation please contact Iain Dobson at [email protected],”

SRRA Research

April 15, 2025

Occupancy Index

Occupancy Index - April 15, 2025

SRRA Research

April 15, 2025

Occupancy Index

Average weekly - 78%
Peak Day - Wednesday 87%
Low Day - Friday 51%
We continue to see a trend toward more in-office work. The economy is suffering from uncertainty and with it more job instability, we are hearing that being present in the office is becoming a hedge against possible job loss. This trend emerged prior to the March break, and we think it is contributing to more in-office work for those who feel their job is at risk. Data through the balance of April confirms this trend. In the institutional sectors the amount of in-office work has levelled off significantly.
Your SRRA Team,

Links to Articles of Interest

Controversial Move By London’s Mayor on Greenbelt Could Reverberate in Toronto

Mayor Sadiq Kahn shocked a lot of people last week when he announced plans to permit housing development on London’s Greenbelt, which has been a fixture in the UK’s planning circles since 1947’s Town and Country Planning Act was put in place. Citing a continuing housing crisis, but committing to prioritize brownfield sites, Khan hopes his decision will help the capital complete much needed housing starts. Could this decision encourage similar moves in Toronto?

Sign of the Times? Deloitte to Anchor 5th Tower at Hudson Yards

Described as an “accounting and consulting behemoth” in this entertaining article, Deloitte has signed on to lease 800k sq ft of space in the first major project post-pandemic in Hudson Yards. With so much uncertainty permeating the economy, this commitment will no doubt be seen as a welcome article of faith by commercial landlords.

More “Deal Signs” on the Horizon?

Two major U.S. commercial brokerages are merging and will take new space in Bethesda MD and Philly while retaining multiple regional offices. Considering that their core business is built around facilitating commercial real estate projects, does this move signal that new office buildings are beginning to be seen as feasible investments?

The Other Side of the Office Market Coin…Firm to Focus on Selling Office Assets

This story offers a less optimistic perspective that underscores the growing divide between trophy-quality offices and ‘the also rans.’

The Pendulum Swingeth…New Offices in the Pipeline Face Delivery Crunch

Cushman Wakefield is suggesting that demand for grade A office space is greater than supply in Britain’s capital city.

CreateTO to Redevelop Body Shop Site with Candy Floss-Inspired Condos

The City of Toronto’s development arm has its sights on building a transit-oriented condo development on city-owned property on Eglinton East, choosing a Vancouver firm to design a colourful differentiator in the condo market. The actual developers selected include Civic Developments, Windmill and Co-Op Housing Federation of Toronto.

Oxford Properties to Build One of Canada’s Largest Current Projects

With building heights ranging from 50 to 71 storeys, Oxford is proving to be no shrinking violet as bids to construct a more than 3M sq ft project! The first three towers will be condo – and as of now – a fourth building to follow is purported to be an office tower (although the typical pattern is for promised commercial buildings to be re-zoned years down the road when surprise surprise the market for office fails to materialize.

And Now For Something Completely Different…

The late Don Shoup’s classic “The High Cost of Free Parking” managed to elevate the science of parking strategies into our heads. This entertaining review of parking culture in Manhattan confirms many of Shoup’s evidence-based findings but the best is a tale of a company paying someone $10 an hour to reserve parking spots 24-7!

“The Occupancy Index is supported by the City of Toronto, Downtown Yonge BIA, and Downtown West BIA. It is a measure of the percentage of office employees returning to the office compared to the number of employees who would normally have come to their offices pre-COVID. For a detailed description of the calculation please contact Iain Dobson at [email protected],”

SRRA Research

April 1, 2025

Occupancy Index

Occupancy Index - April 1, 2025

SRRA Research

April 1, 2025

Occupancy Index

Average weekly - 77%
Peak Day - Wednesday 85%
Low Day - Friday 52%
The Index has resumed its upward climb, albeit slowly. Data from the early part of April indicates the trend to returning to the office will continue especially in sectors where a competitive job market exists. In the institutional sectors the amount of in-office work has levelled off significantly. The uncertainty around the economy and the future stability of employment may be having an impact on the amount of in-office work for those at risk. It is too early to tell if this is a lasting trend.
As we stated in the last Index congestion on roads will not abate on its own or as a result of an economic downturn. The City of Toronto has taken well placed steps to mitigate traffic delays, but more work is needed and continues to be a priority. As was stated in our Forum in January significant relief from congestion only comes with more efficient, convenient and reliable transit.
Your SRRA Team,

Links to Articles of Interest

Understanding Post-Pandemic Working Norms – The Results Are In

An international design firm serving the needs of landlords and companies on multiple continents, Gensler’s Global Workplace Survey of more than 16,000 office workers “to better understand the future of work” identifies three key insights: 1) Despite best efforts, little progress has been made to improve the quality of post-pandemic workspaces. “A workplace that doesn’t work is not really a workplace,” the authors conclude. 2) “Only 14% of the global workforce desires a traditional corporate workplace experience. There has been a shift to experiences that feel connected to nature, inspiring, and experimental” – a finding that applies to workers of all ages. 3) A majority of respondents are keen to foster more in-person work. “More than two-thirds (68%) of respondents say that working in the office positively impacts their connection to a shared mission or purpose, a key reason to work together.”

Well-Designed High-Density Cities and Public Health Show Solid Links

A new publication focusing on the quality of urban design solutions, “ArchDaily” argues that a money spent on improving quality of life in a well-designed built environment delivers a positive ROI. “In the context of planning for urban living, health extends beyond physical well-being; it includes mental resilience, social connections, and environmental factors, all of which influence daily life. Health issues can be amplified in high-density cities through poor air quality, high stress levels, social isolation, or limited access to green space,” the authors suggest.

Big Box Retail Developed Less Than a Decade Ago To Be Replaced By Condos

A big box project developed by Build Toronto only a decade ago, close to the soon to-be-redeveloped Downsview airport site, is to be replaced by a massive cluster of tall condos, with more than 2,000 units (60% of which are one bedroom). Five towers, the tallest of which is said to be 49-storeys, are backed by Insurance giant Manulife as the major investor. Future residents will be able to choose between using the Wilson subway stop or driving on the 401. Less than one third of units suitable for families.

Six Massive Towers Proposed for a Small Field in Vaughan

City Park Homes has launched a bid to build six tall towers in a field and ravine site in Vaughan. Originally to be redeveloped through a controversial MZO, the project has since been “scaled back” and will only be “29, 28, 28, 26, 22, and 22 storeys,” though this is considerably taller than the single-family houses that are the nearest neighbours.

Questions Raised About Therme’s True Track Record

A recent article in the New York Times puzzles activists seeking information about the future of Ontario Place. The article claims that Therme misrepresented itself to everyone as a successful player in the luxury spa industry, with one not six successful operations. With a Ponzi-like skill, Therme’s reputation appears to be based on sand, not concrete, raising questions about the value and future of long-term leases signed with the province.

Foot Traffic Higher for AAA Offices in Manhattan, Lower for the Also-Rans

A new study suggests that there continues to be a great division between the trophy office buildings and older less attractive tenancies in Manhattan. The adage “location location location” is still holding true the study finds, but the qualities that define location are changing.

Oops! U.S. Government Accidentally Publishes Secret Plans to Undermine New York’s Congestion Pricing

Although only online briefly, the snafu – a secret memo critiquing strategy to block Manhattan congestion pricing – suggests that the Trump administration is working behind the scenes to kill the scheme.

“The Occupancy Index is supported by the City of Toronto, Downtown Yonge BIA, and Downtown West BIA. It is a measure of the percentage of office employees returning to the office compared to the number of employees who would normally have come to their offices pre-COVID. For a detailed description of the calculation please contact Iain Dobson at [email protected],”

SRRA Research

March 15, 2025

Occupancy Index

Occupancy Index - March 15, 2025

SRRA Research

March 15, 2025

Occupancy Index

Average weekly - 76%
Peak Day - Wednesday 85%
Low Day - Friday 51%
The March break is often a time when people take time off with kids and grand kids. The Index clearly reflects that trend in in-office work. Early numbers for April suggests that this will be temporary. The April 15th Index to be published at the beginning of May, will likely show a significant increase in in-office work.
There is little question that job uncertainty is behind more in-office work as we suggested it might be in the last Index. That trend will find its way into the Index late in March or early April.
Regardless of how the economy fares over the next few months we believe that congestion will not abate and that solutions to moving people and goods and services around the Region continues to be a priority. Look for more on this in the next Forum scheduled for late May.
Your SRRA Team,

Links to Articles of Interest

Derry Road Transit Corridor Proposed in Northern Mississauga

Citing continued demand for better transit on the busy streets of Mississauga, city staff are targeting an east-west higher order transit corridor on Derry Road. Transit supporters are hoping that key projects like this one can be completed far more quickly than the Hurontario LRT project, which like its cousin the Eglington Crosstown, has been plagued by delays. The idea was first broached in 2006, and announced by Metrolinx two years later.
Read Article Here.

TTC Awards $1B (yes, billion) Contract for Capacity Upgrades at Yonge & Bloor

The ambitious project will expand platforms, improve circulation and generally prepare the city to accommodate growth in the TTC network. “KMJV will enter a two-year development phase, during which time the team will develop a design, schedule, methodology and target price proposal for the construction of the project.” The goal is to complete this phase in two years.

Demand for Hydro As Economy Electrifies Leading to Conflicts in Boston

Acknowledging the need to boost hydro capacity in U.S. cities such as Boston may come into conflict with municipal goals for sustainability, local politicians are facing pushback from residents against proposals to create large battery plants in mature neighbourhoods. Residents cite safety concerns after one such plant caught fire earlier this year, not once but twice. Well-publicized fires in electric vehicles that prove challenging to extinguish fuel these worries.

U.S. Investors Set to Double Down on Office Conversions

As vacancy rates in anything but Triple AAA territory continues to trouble landlords, Bloomberg is reporting that major U.S. investment funds are building a war chest for the purpose of accelerating the rate of office conversions. The funds would be targeted to larger markets like D.C., New York and Chicago, where the supply of older office buildings is often concentrated in areas that have fallen out of favour.

Is Retail Banking Destined for ‘Dodo’ Status?

Although the Dodo, a flightless, peaceful bird once found off the coast of Africa, is now extinct, its name lives on as a shorthand for anything destined to disappear. According to a new survey from the U.S. Federal Deposit Insurance Corporation, the retail bank could soon follow the Dodo into extinction as developers cash in on a wholesale shift to on-line banking. If Canada follows the U.S. trend, look for a shake-up in commercial rents on Main Street, where banks have traditionally provided easy income for developers looking to lease ground floor retail space.

Strangest Link Ever? – Ontario Throne Speech Revives Tunnel Under 401

The same government winning plaudits for going to bat for Ontario’s economy included the proposal to construct a 60km road and transit tunnel under Highway 401 in April’s Throne Speech as a solution to Toronto’s chronic congestion. Note that the speech was delivered fully two weeks after April 1.

https://www.cbc.ca/player/play/video/9.6624613

“The Occupancy Index is supported by the City of Toronto, Downtown Yonge BIA, and Downtown West BIA. It is a measure of the percentage of office employees returning to the office compared to the number of employees who would normally have come to their offices pre-COVID. For a detailed description of the calculation please contact Iain Dobson at [email protected],”

Iain Dobson

March 1, 2025

Occupancy Index - March 1, 2025

Iain Dobson

March 1, 2025

Links to Articles of Interest

SRRA Forum Focused on Congestion as CBC and the Globe and Mail Join the Conversation

The CBC ran a multi-part series on congestion (see video/9.6624613) but the Globe is also talking up the success of other cities like New York (brand new experiment) and London (20 years in).

https://www.theglobeandmail.com/opinion/editorials/article-new-york-city-curbs-traffic-with-the-magic-of-tolls/

Vancouver Rejects Congestion Pricing to Plug Funding Gap but Ottawa to the rescue?

In Canada’s most expensive city, politicians reject congestion pricing to address a shortfall in funding, even though a recent study suggested there would be a net benefit to the coffers of TransLink by imposing a modest fee (see video/9.6626360). In the meantime, Ottawa is said to be sending more than $600M to plug the gap.

https://www.cbc.ca/player/play/video/9.6626360

https://www.theglobeandmail.com/canada/british-columbia/article-ottawa-to-contribute-663-million-for-metro-vancouver-transit/

Dreaming in Technicolour? Metrolinx Reports on a Possible Future View of Transit in the GTA

Perhaps the idea was to move the focus away from the never-ending debate about when long-delayed Crosstown and Finch LRT might open for business or even ballooning costs for the Ontario Line?

https://www.blogto.com/city/2025/01/future-toronto-transit-map/?utm_source=blogTO-Top-Stories&utm_medium=Email&utm_campaign=ZOOMER250106007_20250106&oly_enc_id=4124G6602090F9I

Sweeping Review of Canada’s Transit History Suggests We Get a Failing Grade

Although Vancouver and Montreal get a pass, Toronto’s track record is dismal, according to a Globe editorial that concludes costs per kilometer for projects in Ontario (mostly in the GTA) are unacceptable when compared to other jurisdictions. Another tunnel proposal from the Ontario government – this time to tunnel a section of LRT in Brampton – passed almost without notice.

https://www.theglobeandmail.com/opinion/editorials/article-building-transit-in-canada-has-gone-off-track/

Meanwhile, the BBC Offers Up Some Controversial Views on Working from Home

If the trusted voice of the BBC is willing to ask the question “Is working from home on the way out?” can the rest of the world be far behind? Auntie is never wrong.

https://www.bbc.com/news/articles/c8ew0jrjxz9o.amp

Sources Suggest That Remote Work on the Wane in the U.S.

Boosted by perhaps the only Executive Order signed by the new president that is based in reality (https://www.nbcnews.com/business/business-news/return-to-office-federal-employees-telework-policy-rcna188629) companies like J.P. Morgan and Amazon are starting to dispense with carrots, switching to the stick to get employees back in the office.

https://nypost.com/2025/01/10/business/jpmorgan-orders-staff-to-return-to-office-5-days-a-week-best-way-to-run-the-company/?utm_campaign=nypost&utm_medium=referral

Does the Perfect Transit System Actually Exist?

A contributor to the Globe and Mail believes it does, citing the extraordinary success in Switzerland’s commitment to providing true coordinated transit access that runs like a Suisse watch.

https://www.theglobeandmail.com/opinion/article-what-north-america-can-learn-from-the-greatest-transportation-system/

Is Vaughan’s Plan for a Walkable Downtown the Real Thing?

Seventeen towers up to 74 storeys in height are presented as a recipe for a walkable downtown in Vaughan. “At first we wondered if the buildings are too tall,” mused one of the architects for this yet to be approved proposal which needs density to “build a community that relies on transit,” he concluded. Office jobs are a possibility. Meanwhile, the Vaughan Metropolitan Centre subway station is attracting 26,000 commuters a day. (Bloor-Yonge handles 156,000 passengers a day.)

https://www.theglobeandmail.com/business/industry-news/property-report/article-vaughan-sets-sights-on-a-towering-new-downtown/

SRRA Research

February 15, 2025

Occupancy Index

Occupancy Index - February 15th, 2025

SRRA Research

February 15, 2025

Occupancy Index

Average weekly - 75%
Peak Day - Wednesday 87%
Low Day - Friday 48%
2025 started out being the year when we established a new normal for where people worked and that is starting to unfold. Recently though, serious questions about the immediate future of the economy have trumped that discussion. As one reader of this report pointed out last week, ‘at least we can see the Index showing signs of reaching a plateau’ as it seems to hover around the mid-70s’.
In further interviews, uncertainty in the job market and the economy at large, may drive a higher level of in-office work. The evidence isn’t there yet and we may not see it as we head into the March Break, but the data in April is likely to be very important. Don’t expect much change from the mid to high 70s until then.
The “Articles of Interest” is back. We have included articles about congestion and transit-oriented development (TOD) as a result of your suggestions.
Your SRRA Team,

Links to Articles of Interest

Money Talks. So Does Status. Why Desire to Get Promoted is Driving a Return to the Office

“People missed out on promotions because they weren’t seen,” insists a high-profile Canadian CEO. The bottom line, he suggests is that “workers need to be visible in the office to advance their careers.” He also believes that employers “are becoming more forceful about requiring staff to work in-person.” The CEO in question is in “constant communication with employers such as banks and other financial-services firms. He is hearing that CEOs “want their employees back in-person.”

Return to the Office Gaining Momentum Surveys of Canadian CEOs Suggest

Although the headlines usually focus on dramatic statements by high profile companies like Amazon, the reality is that the day-to-day chore of rebuilding company culture by persuading employees that the best results come from in-person collaboration. Surveys of Canadian CEOs suggests that progress is quietly is taking place in many small and medium companies.

New York’s Journey With Congestion Pricing Begins…

Much has been said about the pros and cons of congestion pricing as a solution in Toronto. But after years of on again off again decisions on whether to proceed with congestion price in New York the big day has arrived. In anticipation of the launch of congestion pricing in New York City, this article presents a well-balanced outline of what it will mean for commuters and travellers alike in that city. The assumption of course is that there are options for most commuters that are better than paying the charge – underscoring the need for Toronto to keep adding to its transit network.

One Manhattan Resident Who Supports a Congestion Charge

Focusing on the post-pandemic impact of increased car traffic – and higher pedestrian casualties – a local says he is willing to pay his share to help deter car trips to one of the world’s busiest core areas. Despite continuing threats to its implementation and the strong likelihood that the incoming president will remove the congestion charge, it was implemented as planned on January 5, 2025.

Thinking On Top of the Box to Address Congestion

Swiss engineers have invented a novel way to avoid highway congestion during routine maintenance. With the help of two large trucks, a mobile bridge is put in place to allow traffic to drive up then down while repairs are made below the bridge. So simple but it works!

Is Remote Work Being Used to Reward Higher Paid Staff?

A recent study in the U.S. concludes that higher paid workers aspire to and receive a better range of work from home privileges from employers. According to a Stanford economist, days devoted to remote work by lower paid staff have dropped by 16 per cent over the past year while their higher paid colleagues continue to work from home on a more regular basis, with a drop in remote days of only five per cent.

Toronto Housing Starts Can’t Match Those in Other Cities

Despite lots of hot air blowing out of Queen’s Park exhorting municipalities and builders to create more housing, the latest cross-country comparison suggests that places like Edmonton are outpacing high priced, constrained economies like Toronto’s.

You Can Bring a Horse to Water, But…TOD Not In Longueil’s Future Right Now

A decaying suburban mall sits nearly empty in a community on Montreal’s south shore, frustrating the mayor and others who see it as a golden opportunity to redevelop Complex Cousineau. With a newly constructed light rail connection from the south short to downtown Montreal, demand for housing is inching upwards and sites like this mall are “crying out” for redevelopment says the mayor of Longueil. But the owner won’t even return phone calls to the municipality, telling the Globe that it his right as a property owner to let it sit virtually empty.