Article
Carttera and OPTrust Bet on GTA Industrial Market With Vaughan Speculative Build
October 21, 2025 3 Minute Read
Carttera and OPTrust have launched construction on the first phase of a two phase industrial park in Vaughan, ON, that’s being presented as that city’s first zero carbon development.
CBRE’s Kyle Hanna, Chris Bournakas and Spencer Mussett are leasing the project, which is being built on spec.
Phase 1 of Vaughan 400 Jane-Shipwill Industrial Park is a ~510,000 sq. ft. building with 40’ clear height and 4,000 amps of power. The project is slated for delivery in the third quarter of 2026 and is targeting LEED gold and zero carbon certifications.
Phase 2 of the development, fronting Highway 400, will be a ~1.0 million sq. ft. building delivering in 2028.
“This is a huge vote of confidence in the Greater Toronto Area industrial market, and Vaughan in particular as a destination of choice for business,” says Bournakas.
“While many industrial developers seem to be pausing projects in a tougher industrial leasing environment, Carttera and OPTrust are moving ahead with this spec build and it’s not hard to see why: location-wise, with proximity to core, Highway 400 access and exposure, you can’t beat Vaughan."
Industrial leasing activity has moderated over the last 12 to 18 months when compared to the post pandemic bull run, notes Mussett, “but this is only temporary, and we are already seeing renewed tenant confidence in the market. Improving economic conditions and population growth will continue to underpin the GTA industrial market."
“The GTA industrial market continues to demonstrate exceptional resilience," adds Heidi Tibben, Partner, Asset Management, Carttera. "Vaughan 400 represents Carttera’s commitment to delivering best-in-class industrial developments that meet the evolving needs of modern businesses in one of Canada’s most dynamic logistics hubs.”
Limited New Construction
Construction of new industrial buildings in the GTA has fallen off considerably in recent years. The second quarter of 2025 had 8.45 million sq. ft. of industrial space under development, down from 14.4 million sq. ft. a year earlier.
“Carttera and OPTrust see this as an opportunity,” Bournakas says. “Vaughan has experienced more industrial leasing velocity and absorption than competing nodes, and rental rates there have been more steady than in other areas, as well.”
“That’s why we are so confident in this pioneering development – the premium location, the type of product we are building, and the lack of competing options in the market today” adds Mussett.
“Over the past several months we have really started to see a meaningful uptick in leasing activity throughout the core GTA West and Central markets,” notes Hanna. “Tenants that were once pushed out to secondary areas when the market was extremely tight are now coming back to lease facilities in the best geographic areas for labour and logistics savings, such as Vaughan.”
Sustainability Focused
Vaughan 400 is Carttera’s first industrial project in Vaughan, and it’s Vaughan’s first zero carbon industrial development. Phase 1 will have four EV charging stations, a heat pump system, and a roof-mounted solar voltaic system designed to offset base building energy and have total energy use savings of 86% over typical gas units.
CBRE’s team is targeting a single tenant to take the entire first phase of Vaughan 400, ideally an end user seeking to reduce their environmental footprint and prioritize sustainability while also driving business growth in a rapidly evolving market.
“We expect tenants to continue to make real estate decisions around location and knowing that there is a finite supply of larger scale offerings in Vaughan,” says Hanna. “Our team has already received great traction from tenants looking as far as a year ahead of time in the Vaughan market”
“Vaughan 400 Jane-Shipwill Industrial Park is for occupiers looking at the long-term view,” Mussett adds. “These are groups that think in decades, not years. They’re assessing how to modernize and improve their supply chain in a way that aligns with their corporate sustainability goals, and they’re ultimately looking for a higher level of sophistication in their real estate.”
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