Toronto's 95 Developments has a project pipeline comprising 7,500 housing units, but one of its most innovative ventures is in the office sector where the company has almost sold out a strata conversion at its 95 Corporate Centre.

 Just seven unsold units remain at the office condo at 105 Gordon Baker Rd., in the city's North York neighbourhood.

“The smallest unsold unit is 90 square feet while the biggest one I have is 700 square feet,” manager of sales Simon Wang told RENX. 

The development company is a subsidiary of Woodside Square Investment Trust, which has a property management arm and owns and operates Woodside Square mall in Scarborough, plus about a million square feet of commercial space on Finch Avenue on the northern edge of the city. 

The 171,000-square-foot 95 Corporate Centre building was owned and operated by the company for several years but, once the COVID-19 pandemic-related workplace shutdowns happened and the office market seriously slumped, its occupancy rate dropped to around 25 per cent.

Something had to be done, so 95 Developments started researching and then educating real estate brokerages — many of whom had also seen their business decline due to the drop in residential condo sales — about office condos. Several agents came on board and have been responsible for a large chunk of the building’s unit sales.

Building conversion and purchase incentives

The company has its own in-house architect, engineers and construction team and the year-long building conversion was completed in September 2024. While there were previously about 40 leased spaces, there are now 168 private ownership spaces.

“We implemented a market-smart strategy to help buyers overcome financial hurdles, including vendor take-back financing and lease-back options,” Wang explained. “This innovative approach not only eased the purchasing process but also allowed business owners to lease back their units, creating a win-win scenario for both investors and occupants.”

A 30 per cent deposit was requested up front and about 70 per cent of the purchases utilized the vendor take-back financing with five-year terms and interest-only payments. The interest rates are zero per cent for the first two years, one per cent in year three, two per cent in year four and three per cent in year five.

The lease-back option was aimed at investors that wouldn’t be immediately occupying the units and provides a guaranteed annual return of 18 per cent.

“The investor might still be on a lease somewhere for a couple of more years, and it's a transition stage that we help with,” Wang said.

Unit sizes and purchasers

Space sizes purchased range from 90 to more than 10,000 square feet, with an average size of 700 square feet and a price of about $600 per square foot.

About 60 per cent of purchasers have been investors while the rest have been occupiers. Spaces have been acquired by medical, professional office, non-profit and e-commerce users, among others.

In addition to local purchasers, units have been acquired by people from across Canada as well as Asia and the Middle East.

“We've got a lot more variety than we had before,” Wang said of the occupier mix. “We’ve seen a lot of overseas companies that left the market a couple of years ago beginning to come back and they’re looking for these spaces.”

95+ Coworking

One investor purchased 10,000 square feet with the lease-back option and rental guarantee and, for the next five years, that space will be used for 95+ Coworking. It will have its grand opening on Sept. 5. 

The location will provide meeting facilities and an event space for users with small units that can’t accommodate many people. It will also offer facilities for online streaming and places for owners to relax or play video games.

“We're providing it as an amenity,” Wang said. “Our goal is to build up the brand and an identity.”

Renovations and upgrades have also been done in many common areas of 95 Corporate Centre.

Three upcoming developments

On the multiresidential front, excavation began last year for a 15-storey, 158-unit building at 2992 Sheppard Ave. E., at the intersection with Pharmacy Avenue, in Scarborough. It’s slated to be a condo at this point and is scheduled for completion in 2027.

The flagship project for 95 Developments will be the multi-phased intensification of Woodside Square at 1571 Sandhurst Circle in Toronto. While the shopping centre will remain in place and be enhanced, the company plans to develop seven multiresidential buildings with approximately 2,700 units around it.

Wang said a multi-phased, master-planned community called The Rose Hills at 282 Monarch Ave. in Ajax, just east of the city, will eventually have approximately 3,700 residential units. Demolition of the existing commercial plaza is underway and Wang is looking to start marketing the project next year.

“Both projects have approvals in place and the municipalities have been pushing us to get shovels in the ground,” Wang said.

Proposed developments and acquisitions

There are other development properties at earlier stages of progression in 95 Developments’ portfolio, including:

• the proposed 28-storey, 748-unit The Garden Series on Finch at 2930 Finch Ave. E.;
• and the proposed 14-storey, 346-unit The Bridleton at 3268 Finch Ave. E.

Funding for 95 Developments projects comes from investors in Woodside Square Investment Trust, while it also receives financing from lenders.

Wang said the company is in the process of acquiring another Toronto property for a low-rise development.

“We're still actively acquiring different projects and we believe right now is a very good time to acquire these projects,” he explained. “We’re more than just a builder in terms of asset management, residential development and property management, we're also a community builder.”