New trade tariffs implemented by both the U.S. and Canada were a primary focus in Q3 2026, bringing clear challenges to the GTA industrial sector. Despite the detrimental effects of these trade pressures, the commercial real estate markets across Peel, Halton, and Hamilton showed signs of resilience. The market has largely absorbed the impact of these tariffs on businesses and pricing, leading to a period of general stabilization.
Office market conditions remained steady compared to the previous quarter, with overall availability showing little change. Sale prices experienced only moderate shifts, and Hamilton once again recorded the lowest average sale values and a slight negative trend. Average asking rents crept downward across the board. The continued decline in asking rents reflects ongoing efforts to support tenant demand and reduce availability.
The industrial sector faced direct challenges from the recent tariffs, but pricing metrics show the market is adapting. Average industrial sale prices went up in Mississauga, Oakville, and Burlington, indicating that these areas have absorbed the impact of the trade changes. Hamilton underperformed relative to Halton and Peel, standing as the only region to post significant negative absorption for industrial space, alongside a marginal decline in average sale prices.
As economic conditions continue to evolve, the different performance between regions reflects the ongoing adjustment to current trade policies. The stabilization of office availability, combined with firm industrial pricing in core markets, points to a stable region overall. While Hamilton continues to face distinct leasing challenges, broader market indicators suggest that investors and owners are adjusting to the shifting economic conditions.
