Vaughan Industrial Real Estate
Industrial Space for Lease and Sale in Vaughan
Vaughan is the anchor of GTA North industrial real estate - 105.8 million square feet of inventory along one of Canada’s busiest north-south freight corridors, Highway 400. At 3.7% availability in Q1 2026, the market is tighter than the GTA average, and with 1.4 million square feet under active construction, it is also the only major GTA North submarket delivering meaningful new modern supply. For distribution, logistics, and manufacturing operations that need highway access north of the 401, Vaughan is the primary market.
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Harry Makkar
Industrial Broker · Colliers International
Discuss Your Vaughan Requirement
No obligation · Responds personally · Confidential
Vaughan Industrial Market: Q1 2026 Snapshot
Vaughan recorded a minor negative absorption of 214,958 SF in Q1 2026 - not a signal of structural demand weakness, but a reflection of new completions temporarily outpacing lease-up in a market actively delivering new supply. The 1,379,797 SF currently under construction is the most in the GTA North market and positions Vaughan to absorb growing demand from operators relocating out of Toronto’s infill corridors. At 3.7% availability - below the GTA average of 4.6% - the market remains fundamentally tight.
Below GTA average of 4.6%; Q1 2026
Above GTA average of $16.30 PSF
Most active pipeline in GTA North
30% premium over GTA average of $333 PSF
Source: Colliers Q1 2026 Toronto Industrial Market Report
Vaughan Industrial Submarkets: Rates and Availability by Corridor
Vaughan’s industrial base runs primarily along the Highway 400 corridor, with the Jane Street and Keele Street corridors providing secondary freight access. The Jane-400 interchange at Highway 7 forms the commercial and logistics core of south Vaughan, while the Rutherford Road and Major Mackenzie Drive corridors serve growing mid-market and manufacturing demand further north. Asking rents across the market average $16.82 PSF - above the GTA average - reflecting strong fundamentals and a shortage of large-block modern product.
| Submarket | Availability Rate | Asking Net Rent |
|---|---|---|
| Vaughan (Highway 400 / Jane Corridor) | 3.7% | $16.82 PSF |
| Vaughan (overall) | 3.7% | $16.82 PSF |
Source: Colliers Q1 2026 Toronto Industrial Market Report
Highway 400: GTA’s North-South Freight Spine
Highway 400 provides direct north-south freight access from downtown Toronto to Barrie, with no traffic signals and consistent throughput for flat-deck and cube van fleets alike. The industrial corridor running north along the 400 from Steeles Avenue to Major Mackenzie Drive is Vaughan’s most liquid submarket - buildings here absorb fastest, command the highest rents, and attract the broadest tenant mix from national retailers and 3PLs to automotive suppliers and food processors. For any operation that needs GTA-wide delivery reach, Vaughan’s Highway 400 positioning is difficult to replicate.
1.4M SF Pipeline: Where the New Supply Is
With 1,379,797 SF under construction as of Q1 2026, Vaughan carries the most active development pipeline of any GTA North submarket. Most of this product is targeted at 50,000 to 200,000 SF logistics users - 30-foot-plus clear height, high dock counts, modern sprinkler and power specifications. For tenants who need product that was built in the last five years and are currently finding those options scarce in Mississauga or Brampton, this pipeline represents one of the best near-term alternatives in the GTA. For landlords competing against new product, it means lease terms will need to be sharp.
Tighter Than the GTA Average
At 3.7% availability, Vaughan is meaningfully tighter than the GTA average of 4.6%. That spread matters: it means the effective selection of available product - particularly large-block modern distribution centres - is limited, and tenants approaching the market without lead time or broker preparation will find themselves in a reactive position. The businesses that successfully secure space in Vaughan are the ones that started looking 6 to 12 months ahead of their requirement date and engaged representation with visibility into off-market availability before it was formally listed.
Investment Values at a 30% Premium
Vaughan freehold industrial averaged $432 PSF in Q1 2026 - 30% above the GTA average of $333 PSF and one of the highest freehold valuations in the North market. That premium reflects Vaughan’s position as a true logistics hub: access to a large and diverse industrial workforce, highway infrastructure that serves the entire GTA, and a regulatory environment in York Region that has historically supported industrial development. For owner-occupiers and investors alike, that premium has proven durable across market cycles - Vaughan industrial has outperformed the GTA average on a per-square-foot basis consistently over the past decade.
Buying Industrial Property in Vaughan
Vaughan freehold industrial averaged $432 PSF in Q1 2026, a 30% premium over the GTA average of $333 PSF. That premium is structural: Highway 400 access, a large industrial workforce, and York Region zoning that accommodates a wide range of industrial uses make Vaughan one of the most desirable owner-occupier markets north of the 401. For operations that expect to be at their location for 10 years or more, buying eliminates the compounding lease renewal risk of a tight, above-average-rent market.
With 1.4 million square feet under construction, the pipeline will deliver new freehold opportunities for buyers over the next 12 to 24 months. Purpose-built product in an established location like the Highway 400 corridor commands a premium but also retains value - new product typically leases quickly and holds its capital value better than second-generation space.
Harry Makkar has guided industrial buyers through acquisitions across Vaughan’s corridors, including off-market transactions sourced through the Zonado platform before ownership was publicly testing the market. For buyers with specific requirements - size, power, truck court, location - off-market access is frequently the difference between securing the right building and settling for the available one.
Tenant Representation in Vaughan
Vaughan’s active development pipeline creates a more nuanced negotiating environment than fully built-out markets like Oakville. New construction landlords are building on spec and need to lease - that creates leverage for tenants who come prepared and move decisively. But it also requires knowing which developer is behind schedule, which projects are pre-leased, and which landlords are willing to negotiate on tenant improvement allowances or free rent to close before their construction lender’s stabilization deadline.
For second-generation space in Vaughan’s existing building stock, the dynamic is different. With 3.7% availability, landlords have limited direct competition and tend to negotiate hard on rate. Tenant representation provides the comparable transaction data - what tenants in adjacent bays and comparable buildings paid, what concessions were granted, and what the landlord’s actual basis is - that tenants cannot access on their own.
Tenant representation in Vaughan costs the tenant nothing. Every Vaughan industrial landlord has brokerage fees built into their transaction budget. What representation delivers is market intelligence and negotiating leverage that the tenant cannot build independently.
The Zonado Advantage
Vaughan Industrial Off-Market Access
In a market as active as Vaughan - 1.4 million square feet under construction, tight availability, and some of the highest transaction volume in GTA North - the best opportunities move before they are formally listed. Whether it is a landlord testing the market at lease expiry, a developer pre-leasing before construction is complete, or an owner-occupier quietly entertaining acquisition offers, off-market access is how businesses find the right building in Vaughan.
Colliers + Zonado Reach
Every listing Harry handles runs simultaneously through Colliers International’s national marketing platform and Zonado.com - a combined audience no other Vaughan industrial broker can replicate. For landlords and developers, that reach means more qualified tenants faster. For tenants and buyers, it means Harry has visibility into incoming availability before it hits the open market.
150,000 Marketplace Users
Harry founded Zonado.com - one of Canada’s largest commercial real estate marketplaces, serving 150,000 users annually, built without external funding. That platform creates a direct line into ownership conversations across York Region: buildings being evaluated for sale, leases nearing expiry, developers pre-marketing before construction completes - long before any formal process begins.
Operational Perspective
Before commercial real estate, Harry managed logistics and distribution at Bell, Canada’s largest telecommunications company. He evaluates Vaughan industrial buildings the way operators do: dock-to-door ratios, truck court depth relative to trailer length, clear height versus actual stacking requirements, power supply for material handling, and Highway 400 on-ramp timing during peak freight hours. Not as a checklist - as operational reality.
Industrial Real Estate Across the GTA
Vaughan is the North market anchor, but the right industrial location depends on your highway requirements, workforce access, and operational footprint. Markets further south along the 400 corridor offer lower rents and urban infill options; markets to the west offer Highway 401 or QEW alternatives. Explore adjacent markets below, or visit the GTA industrial space overview for a full market-wide comparison.
Toronto
All Toronto corridors - Scarborough, Etobicoke, core. Availability 2.9%, rates from $10.48 PSF.
Brampton
Highway 410/427/407 corridor - one of Ontario's most active logistics markets. Availability 6.0%.
Mississauga
Meadowvale, Dixie/Matheson, Airport Road. Rates from $16.27 to $19.21 PSF.
Oakville
QEW and Highway 407 corridor. No development pipeline; freehold values at $391 PSF.
Etobicoke
Dixon Road, Rexdale, Kipling corridor. Infill industrial within Toronto's western border.
North York
Dufferin, Keele, Jane corridor. Tight urban industrial; limited options, strong values.
Let’s Talk About Your Industrial Real Estate Need
Whether you’re searching for space, looking to sell or lease a property, or simply trying to understand what the current market means for your business.
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