Seattle ($52/sqft, 26.4% vacancy) and Toronto ($57/sqft, 17.6% vacancy) compete on different axes: Seattle on talent depth and Toronto on rent and tax.
Seattle ($52/sqft, 26.4% vacancy) and Toronto ($57/sqft, 17.6% vacancy) compete on different axes: Seattle on talent depth and Toronto on rent and tax.
| Metric | Seattle | Toronto |
|---|---|---|
| Region | Americas | Americas |
| Country | United States | Canada |
| Class A rent (USD/sqft/yr) | $52 | $57 |
| Class A rent (local) | 52 USD | 78 CAD |
| Vacancy | 26.4% | 17.6% |
| Trend | softening | flat |
| Prime yield | 6.7% | 5.5% |
| Premium flex / seat / month (USD) | $940 | $920 |
| Submarkets covered | 5 | 6 |
| Corporate tax | 21% | 26.5% |
| Metric | Seattle | Toronto |
|---|---|---|
| Typical term | 10 yrs | 10 yrs |
| Typical rent-free | 16 mos | 18 mos |
| Lease norms | Modified-gross structures with operating-expense pass-throughs. 10-12 year terms standard for trophy. Free rent of 12-18 months and TI of $100-$150/sqft typical on a 10-year deal. | Net leases — tenant pays a base rent plus a proportional share of operating expenses, realty taxes, and utilities (TMI). Rent-free of 12-24 months on a 10-year term is current market. Bank guarantees common for non-investment-grade covenants. |
| Tax note | 21% federal corporate income tax. No Washington State corporate income tax. Washington B&O tax applies to gross receipts (rates vary by activity). Seattle JumpStart payroll expense tax applies to tenants with $7M+ payroll. | Combined federal + Ontario corporate tax 26.5%. Toronto Municipal Land Transfer Tax applies on purchase, not on lease. |
| Metric | Seattle | Toronto |
|---|---|---|
| Talent index (0–100) | 92 | 80 |
| Talent note | Deepest cloud, AI, and SaaS engineering talent pool in North America. UW and a deep network of T-1 engineering programs feed. Cost-of-living advantage versus Bay Area is structural. | Deepest financial-services and tech talent pool in Canada. Average all-in compensation indexes 80. |
Seattle: Sound Transit Link light rail (1 Line) extended in 2024 to Lynnwood; East Link to Bellevue / Redmond opening 2025-26. Streetcar serves South Lake Union. King County Metro bus network anchors local commute.
Toronto: TTC subway plus GO Transit commuter rail converge at Union Station. The PATH connects most Financial Core assets underground.
Seattle is the cheaper Class A market on a USD basis.
Seattle has the deeper talent index (92/100 vs 80/100).
Seattle has the lower headline corporate tax (21% vs 26.5%). Local incentives can change the effective rate materially.
Seattle typical term is 10 years with 16 months free; Toronto runs 10 years with 18 months free.
Seattle: Sound Transit Link light rail (1 Line) extended in 2024 to Lynnwood; East Link to Bellevue / Redmond opening 2025-26. Streetcar serves South Lake Union. King County Metro bus network anchors local commute. Toronto: TTC subway plus GO Transit commuter rail converge at Union Station. The PATH connects most Financial Core assets underground.
Score Seattle, Toronto and up to two more markets side-by-side on Class A rent, vacancy, talent, corporate tax, and premium flex pricing — all in USD.
Reviewed by Miriam Hollander — Lead market analyst. Last updated 2026-04-15. See our methodology and editorial standards.