Daily insights for city builders, delivered every morning at 6 AM ET. I’m Brandon Donnelly — a Toronto-based real estate developer and founder of Globizen. I’ve been writing here since 2013.
Art in hospitals is such a good idea. The above photos are from Michael Garron Hospital, here in Toronto. One thing I have never understood is why so many hospitals look and feel depressing. (My mom is a nurse and so I was around them growing up.)
I fully appreciate that utility is first and foremost and that construction budgets are always tight. But it strikes me that if there’s one place where you want the opposite of depressing, it is in the places where people go when they’re already not well.
It also doesn’t necessarily need to cost more to be “not depressing.” A little creativity and caring goes a long way.
I don’t know, maybe this is so often the case because the people making the important decisions don’t believe that our environments affect our well being. So the design process naturally reduces to just getting the utilitarian parts right and not spending a penny beyond that.
Whatever the case, I do believe that our environments affect us. More than most of us probably appreciate. And so naturally, I think that art in hospitals is a very good thing.
I had aspirations of making it a slower day, but that didn’t really happen. I did, however, start my morning “on the Bench” for one of our development projects and that was pretty spectacular, especially with the weather we had. Today has to have been the nicest day of the year.
I very much enjoy my birthdays, but the cadence of them seems to only speed up. It feels like just last month that I turned forty. And so in many ways, birthdays are a reminder to me that it’s important to be decisive and not waste time. Life keeps moving forward whether we like it or not — usually quickly. So it’s best to optimize accordingly.
At the same time, this is probably one of my biggest faults. I’m bad at slowing down and living in the moment. I get restless. Neat B tells me that I am at my most relaxed when we are traveling in Paris and just sitting idly in a cafe somewhere. That sounds right. But I’d like to do more of this at home.
The Greater Toronto and Hamilton Area is expected to see 6,821 new rental homes completed this year. This is a “multi-decade high”, according to Urbanation’s latest rental report. Indeed, you need to go back to the 1970s to get rental supply figures of this magnitude.
A big part of this has to do with the fact that we are now taxing rental housing less. Toward the end of last year, the federal government removed their portion of the HST on new rental housing and, then in November, the province of Ontario followed with theirs.
But there’s another reason that many developers are now looking to purpose-built rentals: fewer people are buying new condominiums. And if you can’t presell condos, well then you’re going to need to find another path forward for your land.
However, flipping over to rental is not necessarily a panacea. The margins are generally razor thin (+/- 50 bps). It requires more and different capital (typically). And you need to believe in some fairly non-consensus assumptions (high rent growth, low cap rates, etc.).
It’ll be interesting to see how many developers are able to successfully flip over to rental and how sustained this rental supply number will be.
If you want to understand a huge divide in Toronto and WHY people are so hyped about the Ontario Line look at the main transit project Toronto built in the 2010s (Eglinton Crosstown) vs. the main one for the 2020s (Ontario Line). Not to mention we needed the OL for decades! pic.twitter.com/2qoxT0dHfe
Sometimes I’ll hear people in Toronto talk pejoratively about all of the development that’s been happening at Yonge & Eglinton (in midtown). They’ll say it’s too much density.
But then you come across charts like the ones above (source previously shared here) and you realize that this location is the only section along the new Eglinton Crosstown LRT line that is actually starting to have enough people.
Based on 2021 Census data, there were about 40k people within 800m of the future Eglinton and Mount Pleasant stations. In contrast, there are many downtown stations along the Ontario Line (also under construction) with around 80k people.
Why this is important is because if the objective is to get people to ride this new transit and collect a lot of fares, then the single most important factor is going to be the amount of people that live, work, and play adjacent to each station.
Now, I’m not a transportation planner, but in my mind there are three simple ways to think and go about optimizing for this:
You can look at where population densities are already high and then add new transit to service these densities. This is what is happening with the Ontario Line and it was long overdue. We know that ridership is going to be relatively high because of the chart at the top of this post.
You can look at where there’s existing transit and then work to optimize the land uses around it. This is what we should be doing a better job of along the Bloor-Danforth line, where certain station areas have actually lost people over the last few decades. This is the opposite of what you want next to transit investments.
Lastly, you can also proactively plan new transit while simultaneously encouraging more density. An example of this would be the Vaughan Metropolitan Centre (just north of Toronto). Extend the line and encourage growth. This is good. The only thing with this approach is that it can seem a bit misaligned if you’re currently failing at #1 and #2.
This is a telling map from Jens von Bergmann. It shows the changes in population density across Toronto from 1971 to 2021 (measured in people per hectare). What is obvious is the spikiness of our city. We have been very effective at adding lots of people downtown, along the central waterfront, and in certain other pockets. But at the same time, we have let our older inner city neighborhoods move in the opposite direction and lose people.
The irony of this outcome is that we have long created policies that refer to these areas as being “stable” neighborhoods. The idea was that they weren’t supposed to change, at least not too much. But what this data shows is the opposite. By restricting growth, we actually created the right conditions for them to lose people as demographics changed and household sizes got smaller, among other things. We created unstable neighborhoods.
Thankfully, we have started to change course and allow some intensification. We’re not there yet, but I do believe that the next 50-year map will look quite different than the one you see here.
There is an ongoing architecture/development joke that the way you design a building is by first starting with the parking. Once you’ve figured out how the parking will work, you can then move on to, you know, the secondary stuff, like figuring out how actual humans will occupy your development. I’m calling it a joke, but there’s obviously some truth to this. Parking is almost always a challenge, especially if you’re developing in a city that still has parking minimums.
Previously, I’ve talked about the benefits of “unwrapped” above-grade parking. This is generally counter to how most cities like to think about parking. But for a few reasons, it can make a lot of sense. However, to be clear, I’m not advocating for more parking. My point was simply that — if you absolutely have to build parking — then maybe you should look at spaces that give you some flexibility in the future.
At the same time, there’s another more nuanced thing to consider: how big are your actual parking spaces? Here in Toronto, a standard parking space is 2.6m wide x 5.6m deep (about ~157 sf). This is larger than some apartments. But these minimum dimensions can vary greatly by municipality. Oftentimes you’ll hear planners say, “well, people here like their big cars.” The problem with this is that these dimensions will dramatically change your parking design.
So today I thought it would be interesting to gather a few data points from all of you. What are the minimum parking space dimensions in your city? Please leave a comment below so that everyone can see. As far as I know, there isn’t a globally accepted set of dimensions for parking spaces. Perhaps because some places like big cars and other places don’t care. But maybe there should be.
This week, Urbanation released its condominium market update for Q1-2024. And I’d like to point out two data points. Firstly, across the Greater Toronto & Hamilton Area (GTHA), there were 1,461 new condominium sales for the quarter.
This is the lowest quarterly total since Q1-2009 (the global financial crisis) and the second lowest total since the mid-1990s. (Remember when we spoke about right now being the toughest market since the early 90s?)
Secondly, during this same time period, 2,361 new condominiums began construction across the region. This represents a 52% annual decrease. So all in all, fewer people are buying new homes and fewer new homes are starting construction.
What is obvious is that the market is slow right now. What is not obvious is what happens next. It’s unknowable. There’s risk. My gut is that the market will come back more slowly than many people are expecting, or perhaps hoping. There’s inventory that needs to work its way through the system first.
But ultimately it will come back. Toronto is one of the greatest cities in the world and there remains a need for more homes. Which is why I continue to believe that, if you are in the market for a new one, now is arguably a wonderful time. You get to buy when most others aren’t.
But that doesn’t mean that you shouldn’t invest in cycling infrastructure. Chicago, for instance, has been building out cycling infrastructure over the last few years (2020-2023) at an average rate of approximately 30 miles per year. This is double its rate from 2011-2019. And the results show.
According to recent data from Replica and the Chicago Department of Transportation (CDOT), Chicago saw the highest growth in cycling among the 10 largest cities in the US between fall 2019 and spring 2023.
Biking overall was up 119%. Crosstown trips were up 180% (bike trips that spanned across four or more neighborhoods). Trips related to shopping were up 117%. And notably, zero-car households were up 207%.
Remember, this is a city that basically has the same weather as Toronto. It gets cold in the winter. And sometimes it snows. But clearly if you build good cycling infrastructure, people will use it.
“If I’m an advocate for anything, it’s to move. As far as you can, as much as you can. Across the ocean, or simply across the river. The extent to which you can walk in someone else’s shoes or at least eat their food, it’s a plus for everybody. Open your mind, get up off the couch, move.”
–Anthony Bourdain
My general recipe for travel is as follows: I want to see cool architecture, I want to eat good food, and I want to get a local sense for the place. Meaning, I’d ideally like to hang out with locals and learn from them. What’s it really like, here?
Because of this, I’ve never been one to over schedule on trips. There will be things I absolutely want to see and do, but I always want to make sure that there’s time for the unknown.
I think you want to walk into places that you don’t have on your list, sit at the bar, and have a conversation with the person behind it. You will learn things, and maybe it’ll set you on a travel journey that you couldn’t have possibly planned back home.
That said, guides are still helpful for things like architecture and food. But I have never found general purpose guides — like the ones from Frommer’s — to be of any use. They have too much information that isn’t curated.
When I was in my early 20s, I used to use the Wallpaper* City Guides. They were small. I would mark them up as I went. And they gave me the list of must-see architecture. More recently, I’ve been relying on Monocle’s Travel Guides. They’re great too.
But I am now also a fan of Toronto-based ÅVONTUURA and the architecture guides that they produce. They are simple and beautiful pamphlets that give you a map of each city; a breakdown of contemporary, modern, and historic architecture; a recommended route through the city; and a full list of the important buildings, including their architects.
The founder of Avontuura, Karl van Es, was kind enough to send me their entire set, which as of this month includes new guides for Amsterdam, Berlin, Singapore, and Toronto. Thank you, Karl.
I’m now looking forward to trying one of these out on a future trip. I’m going to use it to decide what architecture I want to visit and, for the rest, I’ll just do what I normally like to do — wing it.
P.S. It took me multiple attempts of tossing these guides onto my kitchen counter in order to arrive at the above photo. I hope you like it.
My friend David Wex recently opened up a new bar called Lisbon Hotel, and this evening I went to check it out with him. It’s not in Lisbon. And it’s not a hotel. But it is deliberately designed to feel like a hotel lobby bar, and it is a great place for drinks and snacks. I recommend both of the dishes pictured above — especially the cucumber and dill one.
It’s also housed in the River City community, which his firm Urban Capital developed. And I think that’s something. Developers are often criticized when they put in boring (yet profitable) uses in the ground floors of their buildings. And this is not that (though hopefully it’s still profitable). This is him and his partners wanting to do something cool and help create a “place.”
Who said new ideas need old buildings? Rhetorical question. It was Jane Jacobs who said this.
