Market Report
SW Ontario Industrial Market Report
3Q 2025
Short-Term Uncertainties Are Manageable,
Given Long-Term Demand Prospects
Region showing resilience against present challenges. With net absorption having stayed in positive territory so far this year, demand within Southwestern Ontario’s industrial market appears to be holding up better than expected, despite exposure to U.S. tariff risks. While trade-sensitive sectors such as autos and steel are still vulnerable to policy shifts, the region’s labour market and industrial sector have proven resilient. Employers are still hiring across advanced manufacturing, logistics and food processing, ensuring that space demand does not soften materially. At the same time, the area’s relatively lower cost of living compared with the Greater Toronto Area has supported population inflows, bolstering local consumption and creating downstream requirements for warehousing and distribution space.
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