Scarborough Flex Industrial Complex
A tenant secured 10-year lease certainty against a landlord-driven redevelopment plan.
$29M
Deal Value
95,000 SF
Square Footage
The Asset
- Address: Scarborough, Ontario
- Size: 95,000 sq. ft. flex industrial
- Land: N/A — leasehold
- Price: $29M (lease value)
Critical last-mile distribution space in a submarket with very limited alternatives.
The Challenge
A long-term tenant faced a landlord-driven redevelopment threat alongside lease expiry. The space was critical to their last-mile distribution operation and relocation would be costly.
The Solution
Michael negotiated a protected renewal clause tied to a demolition notice provision, securing 5 years of certainty while achieving below-market rent in exchange for waiving relocation rights.
Results at a Glance
Location
Scarborough, Ontario
Size
95,000 sq. ft.
Lease Term
10 years
Demo Clause
5-year trigger protection
Rent vs. Market
12% below market
Relocation Cost
Avoided entirely
"10 years secured, 12% below market — and zero relocation disruption."
Work with Michael Law
Ready to achieve results like these? Book a consultation to discuss your industrial real estate objectives.