It’s Hammer-Time
For decades, Hamilton was known by the gritty nickname of Steeltown because of its thriving steel and heavy manufacturing industrial base.
However, these days, you do not hear the Steeltown name much. While the manufacturing capabilities remain – 60% of all steel manufactured in Canada still originates from Hamilton – the city’s economy has widely diversified. The successful economic transformation has attracted global investment, resulting in strong employment, wage growth, and a growing population. Vantage believes the Hamilton growth story is just getting started.
Students of Real Estate learn early on that location is the most relevant variable in a property’s value potential. Global businesses are taking note of the value Hamilton’s relative location offers. Within a one-hour radius of Hamilton are both the US Border and the City of Toronto. Proximity to these markets has provided Hamilton with a significant advantage. Following a recent renovation, the Hamilton International Airport is now the largest overnight freight airport in Canada. The combination of location and government investment has attracted the attention of the largest companies in the world. DHL has built their largest Canadian gateway facility in Hamilton, and Amazon recently completed an 800,000 square foot sorting facility. Smart money is doubling down that this growth will continue. Slate Asset Management purchased 800 acres of land in 2022, and in late 2023 commenced development of the lands, dubbed Steelport.
To meet the needs of growing business investment, all three levels of government are investing in Hamilton’s infrastructure. Notable hallmarks include the construction of the new $3.4 billion Hamilton LRT, the $280 million renovation of the First Ontario Centre, and a $140 million waterfront redevelopment. These investments are enhancing the livability of the city, complementing the beautiful natural escarpment landscape with the attraction of more dining and entertainment amenities. Hamilton is the host of many music festivals, cultural events, and is home to a global food and art scene. The city was ranked 7th in the world for musicians per capita, and the distinctive culinary scene was ranked fastest growing in North America.
On a smaller scale, Hamilton has attracted innovators and entrepreneurs. As a Mid-Sized City, it offers established infrastructure, diversity and affordability. The average modern office Hamilton costs 40% less than an equivalent space in Toronto. This has played an important role in business growth and the emergence of Hamilton’s technology scene having previously ranked as number two for “North American Tech Cities of Opportunity”.
Importantly, Hamilton is investing in its future workforce, hosting two of Canada’s best post secondary institutions in McMaster University and Mohawk College. The pair are ranked as Canada’s top research university and college, respectively.
All signs point to Hamilton being in the early innings of solidifying its status as a leading economic hub and great place to live. Vantage is bought in to the narrative, hand selecting the market for its first major investment. Vantage purchased a 0.5 acre parcel downtown in Q1 2024 and is actively advancing development of a high-rise residential tower that will include approximately 375 units. We look forward to positively contributing to the growth of Hamilton, bringing high-quality homes to its burgeoning population.
