How the new Eglinton LRT could reshape real estate along its route

(photo: Waterfront Toronto)

The Eglinton LRT is now finally open in Toronto after years of delays, and with it comes new opportunities for real estate in the city. 

While numerous major developments have already been announced prior to its opening, there are still chances for the new transit line to attract potential buyers to new areas.

Transit leads the way for community development

One area that may see a boost in popularity because of the LRT is Mount Dennis, the line’s westernmost station. Real estate agent Anita Merlo, who has been working in the Weston area for about 40 years, said that even though Torontonians have known the LRT is coming for a while, there is still affordability in the area – for now. That could change once more life is injected into the neighbourhood, and a community is formed with good restaurants and coffee shops, she said. That makes houses there a steal now, as she sees values going up 25-30 per cent in three to four years.

She told Real Estate Magazine that when the UP Express opened in the area in 2015, providing an easy way to get to Pearson Airport and Union Station, it was a “game changer” for the real estate. The neighbourhood has had its troubles over the years with crime, but Merlo sees sunnier days ahead and for the LRT to have just as profound an effect as the UP Express. She said she has already sold a couple houses to buyers where the LRT was a deciding factor.

“Being close to transit is a game changer for a lot of people,” she said. “Driving in the city is a nightmare.”

Return-to-office a driver for transit-friendly real estate

Remax Wealth Builders agent Alex Wilson predicts it could be three to five years until house prices actually start to accelerate in areas along the LRT. Now that workers are being called back to the office, houses near the LRT could be all the more attractive for easy commutes, according to Wilson. He said that commuting to work is the number one consideration for homebuyers when they begin house hunting. 

“When you have an uninterrupted transit line, you’re going to draw people towards that line,” Wilson told REM. “None of this happens overnight… habits take time to develop.”

Big moves in the Golden Mile, eventually

Another area that is slated for a big revival is the Golden Mile in Scarborough. There are currently about 15 developments proposed for the east-end neighbourhood that include around 75 mid and high-rise buildings that will house about 43,000 new residents.

Scarborough Remax agent David Markle compared plans for the Golden Mile to the master-planned bedroom community of Liberty Village, and said that the developments are largely due to the LRT. Previously, the Golden Mile has been a sleepy area home mostly to strip malls that date back to the 1950s. 

However, given the current market conditions, Markle predicts that the developments currently planned might not be done until 2030, putting the area on hold for now. In the meantime, a new school is envisioned for the area in the City of Toronto’s secondary plan, and Markle said there will be a lot of new retail coming in.

“I think there will be a lot of job opportunities (at Golden Mile),” he said.

More development, less character?

Not everyone is completely thrilled with the LRT, though. Leaside agent Patrick Rocca told REM that while it is nice to have easier access to the rest of Toronto, the LRT has also attracted large-scale developments to Leaside that threaten the area’s quaint and quiet character. That includes a 39-storey mixed-use tower near the LRT station.

“It’s probably going to be the next 10 years of hell when it comes to condos and all this development that’s going to take place,” Rocca said. “(The LRT) takes away the character of the community.”

Rocca is afraid that Leaside will become another Yonge and Sheppard, which went from being quiet to a “gong show,” he said. He’s concerned about the traffic, which is already bad in the area, and could be made worse by delayed construction of the proposed condos given the current market conditions.

He doesn’t see the values of properties lowering in Leaside, though, as many of the homes are separate from where the condos will be.

“A lot of the value of Leaside has been built in already,” Rocca said. “(The LRT) will only help stabilize and keep the value of the community.”