What is the average Class A rent in Toronto?

Around 78 CAD/sqft/yr ($57 USD) across the broader Class A index. Trophy submarkets like Financial Core command 20–40% above that.

How many months of rent-free are normal in Toronto?

18 months on a 10-year deal is the standard benchmark. Lease-up product or tenants with strong covenant strength can push higher.

Are rents rising or falling in Toronto?

The Toronto Class A market is currently flat. Vacancy is 17.6%, which sets the negotiating context.

Headline Class A rent in Toronto is around 78 CAD/sqft/yr ($57 USD), with 18 months of typical rent-free on a 10-year term.

Headline Class A rent: 78 CAD/sqft/yr ($57 USD).
Trophy submarket rents (Financial Core) push to roughly C$82/sqft/yr · ≈ $60.7 PSF/yr USD.
Typical concessions on a 10-year deal: 18 months free rent.
Vacancy stands at 17.6% — market trend is flat.
Use effective rent (face minus PV of concessions), not headline, to compare deals.

Toronto Class A office rents and incentives

Headline Class A rent in Toronto is around 78 CAD/sqft/yr ($57 USD), with 18 months of typical rent-free on a 10-year term.

TL;DR

Headline Class A rent: 78 CAD/sqft/yr ($57 USD).
Trophy submarket rents (Financial Core) push to roughly C$82/sqft/yr · ≈ $60.7 PSF/yr USD.
Typical concessions on a 10-year deal: 18 months free rent.
Vacancy stands at 17.6% — market trend is flat.
Use effective rent (face minus PV of concessions), not headline, to compare deals.

Headline rent vs. effective rent

Asking rents in Toronto are quoted in CAD per sqft per year. Across the broad Class A index the figure is 78, but the trophy tier in Financial Core reaches roughly C$82/sqft/yr · ≈ $60.7 PSF/yr USD. Always discount headline rent by the present value of free rent and fit-out-capex">tenant improvement allowance to land on effective rent — the only number that compares cleanly across deals.

Rent-free and TI

Standard Toronto concessions on a 10-year Class A lease run to 18 months of base-rent abatement. Trophy lease-ups can push rent-free 25–40% above that benchmark. Local cost-of-occupancy is also shaped by tax — Combined federal + Ontario corporate tax 26.5%. Toronto Municipal Land Transfer Tax applies on purchase, not on lease.

Where rents land by submarket

Financial Core sits at the top end (~C$82/sqft/yr · ≈ $60.7 PSF/yr USD). King East & Distillery clears around C$55/sqft/yr · ≈ $40.7 PSF/yr USD as the prime tier. Midtown represents the value end at ~C$48/sqft/yr · ≈ $35.5 PSF/yr USD. The full submarket map is on the Toronto city page.

Key facts

city	Toronto
country	Canada
region	Americas
classARentLocal	78 CAD/sqft/yr
classARentUsd	$57/sqft/yr
vacancy	17.6%
typicalLeaseYears	10
typicalRentFreeMonths	18
submarkets	6
primeYieldPct	5.5%
trophyRent	C$82/sqft/yr · ≈ $60.7 PSF/yr USD
primeRent	C$55/sqft/yr · ≈ $40.7 PSF/yr USD

Frequently asked questions

What is the average Class A rent in Toronto?: Around 78 CAD/sqft/yr ($57 USD) across the broader Class A index. Trophy submarkets like Financial Core command 20–40% above that.
How many months of rent-free are normal in Toronto?: 18 months on a 10-year deal is the standard benchmark. Lease-up product or tenants with strong covenant strength can push higher.
Are rents rising or falling in Toronto?: The Toronto Class A market is currently flat. Vacancy is 17.6%, which sets the negotiating context.

Editorial provenance

Reviewed by Miriam Hollander — Lead market analyst. Last updated 2026-04-15. See our methodology and editorial standards.

Primary sources for this page

CBRE Marketview reports — CBRE
JLL Office Insight — JLL
Cushman & Wakefield Marketbeat — Cushman & Wakefield
Savills World Research — Savills
Colliers Global Office Outlook — Colliers

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