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Lofts in Toronto
Loft Condominiums appeal to hip urban dwellers.
L
ofts began to appear in New York during the late 1970s and early 1980s, as the city attempted to find a use for its obsolete office and industrial buildings. The first Toronto conversion was in 1982, at 41 Shanly Street. Since that time the rise of the loft condominium has been credited with revitalizing any number of older downtown neighborhoods, such as Queen West and King/Spadina. But what exactly are lofts, and who is buying them?
The term "loft," as originally defined, refers to a condominium unit “carved out” of an existing building, usually an obsolete commercial/ industrial structure. Because of the unconventional nature of the original space, these units tended to have highly distinctive floor plans and features, such as high ceilings and mezzanines. With the success of the first loft projects in Toronto, a number of condominium projects containing “loft style” units began to appear in the 1990s. These projects mimicked some of the dimensions and features of the true or "hard" lofts.
Lofts, even more than conventional condominiums, tend to attract a more urban segment of the home-buying market. In addition, since they tend to be more expensive than a conventional unit, lofts tend to attract a largely professional demographic.
A quick search through the TorontoMLS database offers some insight into the character of the Greater Toronto Area loft market. There were 824 Loft sales recorded last year, which means that this style of apartment constitutes about five per cent of the total GTA resale condominium market, a figure that has been increasing over the past few years.
Most loft re-sales in the GTA occur within the old City of Toronto, especially in the central core (C01) and Downtown East (C08). There are also several projects in Etobicoke (W06), and a few “loft style” units available in parts of Mississauga and Richmond Hill.
The figure of 824 recorded sales is an increase of 18 per cent over the 775 Lofts sold in 2004. While part of this increase can be explained by the general robustness of last year’s record setting market, a portion must be attributed to listings appearing for the first time on the system from several newer loft conversions such as Tip-Top Lofts and the Chocolate Company.
Lofts tend to be priced towards the upper end of the condo market, with the 2005 median price being $257,000, 27 per cent above the same figure for all condominiums. According to industry statistics, this also applies to newly built lofts, which average about $300 to $400 per square foot compared to the $265 to $350 paid for a traditional unit.
Source: Toronto Real Estate Board FOCUS
March 23, 2006 in Location, location, location | Permalink
