Toronto's Condo Market Shifts Towards Spacious Living: A New Approach at One Ten Avenue Road

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The Toronto condo market is witnessing a transformation as developers, like Sierra Building Group with its One Ten Avenue Road project, respond to buyer demands for more livable space. With a focus on customization, the new approach aims to cater to the needs of end users rather than investors.

In recent years, the Toronto real estate market has been characterized by a trend where developers focused on constructing condominiums that appealed primarily to investors, often at the expense of livability. As the market now faces an oversupply of smaller unit types, known colloquially as 'shoebox' condos, the discontent with such designs has become increasingly apparent. Prospective buyers are expressing a clear desire for more spacious living arrangements. This shift in consumer preferences is exemplified by the development of One Ten Avenue Road, a new boutique condominium project located at the southern edge of Midtown Toronto, close to the vibrant neighborhoods of Yorkville and The Annex. The building, designed by Richard Wengle Architect Inc., will consist of 12 stories housing only 72 exclusive suites. Jeffrey Kansun, Managing Partner at Sierra Building Group, has noted that approximately 45% of buyers have opted to combine multiple units as part of the company’s innovative 'Crafted by You' program. This initiative allows purchasers not just to select their finishes but also to have a say in the size and layout of their living spaces. Kansun remarked, "It’s been a response to the market from day one. Not everyone’s wishes fit into a box, literally and figuratively. We developed this program in response to customers — we didn’t have this idea when we started this project." During the initial six months of presales, Sierra Building Group reported that no units smaller than 2,500 square feet were sold. These buyers, often later-career homeowners, are looking to downsize from larger homes while still maintaining a generous amount of living space. The demand for larger units is not limited to any specific buyer demographic. A recent analysis from the proptech platform Wahi highlighted that larger condos, specifically those with three or more bedrooms, have retained their value significantly better compared to smaller units amid a general decline in sales across the board. For instance, the median sale price of a one-bedroom condo in the Greater Toronto Area (GTA) dropped by 14% between Q1 2020 and Q1 2026, landing at $480,000. In contrast, the prices for two-bedroom units increased by 2% to $630,000, while three-bedroom units rose by 13% to $700,000, and four-plus-bedroom units saw a 15% increase to $715,000. Wahi Economist Ryan McLaughlin stated, "In today’s GTA condo market, the end user is the main source of anything resembling demand. There simply isn’t much appetite among buyers for smaller units, which have historically been geared primarily towards investors looking to flip them or rent them out." Richard Wengle, the founder of Richard Wengle Architect Inc. and the principal architect for One Ten Avenue, has emphasized that designing with the end user in mind has always been a key focus for his firm. Wengle’s team has been involved in similar projects that allow for customization since around 2011, starting with The Randall in Oakville. They have since collaborated with buyers at various developments, including One Forest Hill and 89 Avenue Road, to create tailored layouts that meet individual needs, including the combination of units into larger residences. For One Ten Avenue, buyers looking to merge units typically request features such as expansive kitchens and dining areas, ample closet space, additional storage, and larger patios than those typically associated with condos in the Toronto area. Wengle noted that some requests necessitate creative architectural solutions, such as one buyer’s plan to combine a floor with part of the one below, allowing for a separate private area for visiting children. Although there are limitations to what can be altered—fixed elements like plumbing, mechanical stacks, elevators, and corridors are non-negotiable—non-load-bearing walls can frequently be reconfigured to optimize the layout for the owner’s preferences. The overarching aim is to enhance a unit’s natural light, views, and access to outdoor spaces while working within these structural constraints. Currently, such levels of customization are primarily feasible in the luxury market, where buyers have the financial resources to afford additional square footage, as well as the costs associated with architectural services and the increased construction management expenses that come with custom layouts. Kansun expressed hope that the principles guiding this innovative approach could be adopted more broadly within the pre-construction condo market. He reflected on the trend towards smaller, unlivable units, which have seen their values plummet, cautioning that the industry must learn from past mistakes. "We, as an industry, will hopefully not make the same mistake twice," he concluded.

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