Since the rise of millennials joining the workforce, many businesses when considering office relocation are looking to move out of the downtown core and closer to home.
Employers chasing young talent, fresh out of university, may still prefer an urban location, but the suburbs can provide a bigger draw for older millennials starting families and taking out mortgages.
Instead of prioritizing the proximity to urban nightlife, top talent in their late twenties or early thirties are looking for access to good schools for their young children and a better work/life balance.
Relocating to the suburbs solves a lot of those big city problems like sky-high housing costs, higher taxes, limited parking, overall storage space, and long commuting hours. Public transit commuters as well as those who take their vehicle to work could benefit from avoiding the long hours coming to and from work. Not to mention, if there was ever an emergency at home, employees can potentially be much closer to take care of it.
Another big reason to make the move is that a suburban office can be much cheaper. Commercial property taxes on top-of-the-line Class A office space in west Toronto averages $6.61 a square foot, compared to just $4.62 across the border in Mississauga’s airport corporate centre area. Factor in rent, which can be more than $40 per square foot in downtown GTA – twice the going rate for the suburbs.
However, while it may be a popular trend to move to the suburbs, the downtown office isn’t about to disappear. The Toronto office market may be tight right now, but the latest major development cycle may come to fruition in 2020. Nearly 10 million square feet of office space has been delivered to downtown Toronto over the past decade and an additional 3.5 million square feet is under construction.
As a business owner deciding between the suburbs and the downtown core, the decision is ultimately based on where your priorities lie.
At Antham Construction, we are well versed in relocating and renovating to meet the needs of our clients. The location and overall vibe of where your company resides is an important factor when expanding the net to attract new employees. For more information on how we can assist in renovating and relocating your office space please contact us today.