COVID-19 disruption continues, market still grappling with uncertainty
With the completion of Q2 2020, the office market has now felt a full quarter of the economic impacts from COVID-19, following the declaration of a State of Emergency in Ontario in mid-March. Significant uncertainty remains as tenants and landlords digest the evolving situation. However, optimism exists within the real estate industry. As reported by numerous landlords, a high percentage of office tenants continued to pay rent, and many of the tenants who were unable to pay were ultimately satisfied by short-term rent deferrals, as opposed to rent forgiveness (a true loss of revenue), creating relative stability for the asset class.