The new Rail Deck Park proposition is supposed to bring a new vibe to the town of Toronto, but what does that mean for the condo prices in surrounding areas? Condos are already relatively expensive in the Toronto area, but this new Rail Deck Park implementation could very well raise their prices up to 10%. The proposal is supposed to support the building of a huge, 21-acre park on top of the CN Rail corridor. It’s a great concept, and it will definitely provide a new sort of feel for the city. It’s always nice to get something new, but the fact that it’s going to raise surrounding condo values has people questioning the decision.
“It will definitely raise the value of the whole neighbourhood, because it will be much more interconnected” stated Alex Balikoev, who is a realtor himself. The bump in value for these properties may seem like a blessing to some, as there’s always investors and condo-owners that are looking to make a sale. 10% in profit for doing nothing at all is great, regardless of how you look at it. If you’re someone who’s looking to make a move into Toronto, however, it could pose as a problem. The average price of a home located in Toronto rose to around $746,546 during the month of June, which is 16.8% higher than it was during June of last year. Condo prices have jumped 7.7%, and that’s without the implementation of Rail Deck Park. Inclusionary zoning is the way they go about balancing property values within the city, in which developers have to take a specific number of units and allow them for low (or even moderate) income homes.
Most of the available properties you’ll find in Toronto are going to be condos, and when the price is increasing, it means that it’s somewhat unavoidable. It’s said that an even stronger inclusionary zoning process will take effect next year (on a provincial level), which is said to allow the creation of up to 12,000 new and affordable homes for Toronto.