Increase in GO Train ridership not linked to declining downtown office vacancy rate… yet

chart displaying vacancy rate and millions of trips per month on GO Transit rail in Toronto. trips per month has recovered since 2020 however the downtown vacancy rate has only continued to to increase
  • In 2019, the number of GO Transit rail passenger trips averaged just over 5 million per month. In 2024, the monthly average totalled 4.5 million. This translates to a recovery of approximately 90% in average monthly trips between these pre- and post-pandemic years.
  • Conversely, Downtown Toronto's office vacancy rate has risen during the same time frame from 2% to 16%, in spite of people gradually returning to work in the office and a workforce increase of over 500,000 in the GTA. Several factors now influence the average occupier’s footprint, including fixed flexible working schedules, rotating days and more efficient space-use. As a result, many office tenants have optimized their space usage to the extent that they have little or no space to spare.
  • As companies' return-to-office (RTO) initiatives continue to gain momentum, the demand for office space is likely to increase. With the new supply of office projects drying up (only 2 million square feet under construction), vacancy rates are expected to peak in 2025 before beginning a gradual decline. The combination of RTO trends and a growing workforce population is anticipated to exert downward pressure on vacancy rates.

15 avril 2025

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