Buying your own small-bay unit can be the best real-estate decision an owner-operator ever makes — or a capital-intensive distraction. industrio models both paths honestly, from down payment to exit, so the decision is yours with eyes wide open.
industrio compares the real, after-tax economics of leasing vs. owning an industrial condo over your intended hold period, updated with live submarket data.
Commercial mortgage assumptions (typically 25–35% down, 20–25 yr amortization), stress-tested against current Bank of Canada posted rates and spreads.
Lease: base rent + TMI + utilities + escalations. Own: mortgage P&I + condo fees + realty tax + insurance + reserve contributions.
Principal paydown year-by-year plus conservative appreciation bands for GTA industrial condo stock — with sensitivity tables so you see the full range.
Rent deductibility vs. mortgage interest deductibility, CCA on the building, HST implications, and capital gains exposure on exit — flagged clearly.
What that down payment could earn in the operating business instead. Owning real estate is a concentrated, illiquid asset — we price that in.
Commercial mortgages usually require personal guarantees. We surface the financial-covenant implications vs. a clean lease.
Leases let you walk at term end. Condos take 6–18 months to sell in a soft market. We model the exit friction honestly.
Reserve fund adequacy, special assessment history, bylaws on outdoor storage and signage, and shared-facility rules that constrain your operation.
Change any assumption — the math updates live. After-tax, all values in CAD. Intended for decision support, not a substitute for your accountant.
Model is simplified. Assumes 50% capital gains inclusion, 4% declining-balance CCA on 90% building portion with half-year rule in year one, level condo escalation, and CCA recapture at sale. Consult your accountant for transaction-specific modeling.
Run an instant valuation on any unit, then compare against live for-sale listings and recently-closed sales comps from TRREB MLS.
Answer 6 questions, get a low/mid/high estimate grounded in submarket base prices and recent comps.
Industrial condos currently on the market. Updated every 15 minutes.
Closed sales you can use as negotiating comps.
Valuations are AI-generated decision support, not a formal appraisal. For loan-qualifying or tax purposes, engage a qualified commercial appraiser.
Two lenders that specialize in commercial real estate financing for owner-operator businesses buying their own unit. Rates below are indicative product parameters — actual pricing is quoted deal-by-deal based on your covenant, LTV, and term.
Business Development Bank of Canada. Specializes in financing owner-occupiers (you use the space for your operating business). Often pairs with a bank first mortgage for a blended stack up to 100% LTV.
Scotiabank subsidiary specializing in mid-market commercial lending including real estate. Typically prices off Government of Canada bonds plus a spread, with flexible terms on mid-size industrial deals.
Pro subscribers can run an AI-drafted RFP that includes your tenant covenant, target unit, and requested terms — sent to both lenders (and any others you choose) with a single click. Responses land in your Alerts feed.
Terms above are indicative product parameters published by each lender and subject to change. Actual rate, LTV, and term depend on the deal, borrower covenant, and market conditions at time of application. industrio is not a mortgage broker and does not earn commissions on any financing placed through these links.
5+ year track record, predictable revenue, owner drawing salary through a CCPC. Owning lets you pay rent to yourself via a holding company and build equity.
Crane rails, heavy power upgrades, fixed racking, specialized ventilation — landlords often won't underwrite these. Ownership removes the approval bottleneck.
You know the footprint will hold. Breakeven on most GTA industrial condo deals lands between years 5 and 8 net of transaction costs.
Real estate outside the operating company can be passed, gifted, or used as security with flexibility that a lease cannot offer.
If you might need 2× the space in 3 years, a condo is a constraint. Leases (or larger buildings with expansion options) usually win.
A 30% down payment plus closing costs is dead capital from an operating standpoint. If your business earns a higher return on reinvested capital, leasing wins.
Transaction costs — land transfer tax, legal, inspections, broker fees on exit — usually erase the math under a 5-year hold.
Most industrial condos share a shipping court with 4–12 other units. If your trucking pattern is dense, owning a standalone building or leasing freestanding is the better fit.
industrio runs rate, appreciation, vacancy, and early-exit shocks against your numbers — and shows you the floor, not just the base case. The decision should survive a 200-bps rate move.
Every Pro and Enterprise subscriber can run a lease-vs-own analysis against any live listing or target building. The output is ready for your accountant, lender, and board.
Asking and achieved $/SF for industrial condo sales in the target submarket, last 24 months.
P&I schedule, interest, tax shield, and equity curve — year by year.
Plain-language notes on HST, CCA, interest deductibility, and capital gains on exit.
Rate, appreciation, vacancy, and exit-timing sensitivity across a 5×5 grid.
Reserve-fund adequacy checks, bylaw review flags, and special-assessment history where available.
A clean, exportable summary — executive overview, assumptions, and scenario tables.
industrio's Pro plan includes unlimited lease-vs-own runs against any GTA industrial listing — live market data, your lender's terms, your tax profile.
industrio is not a mortgage broker, lender, accountant, or lawyer. The analysis above is for decision support and should be reviewed with your professional advisors before any transaction.
VOW Brokerage Disclosure. industrio is operated by industrio Realty Inc., Brokerage, a Member of the Toronto Regional Real Estate Board. Listings displayed are from the TRREB MLS® System under TRREB's Virtual Office Website rules. The information provided herein must only be used by consumers that have a bona fide interest in the purchase, sale, or lease of real estate of the type being offered via this VOW and may not be used for any commercial or other purpose. Information deemed reliable but not guaranteed accurate by TRREB. MLS®, Multiple Listing Service® and their logos are owned by CREA.