Nearly three years after the pandemic hit, activity in London, Ont.,’s downtown core is at about 79 per cent of its pre-pandemic levels, making it the leader among all Canadian cities and 13th overall in North America, according to a new update to a study called “Death of Downtown?”
The research was co-produced by the University of Toronto and the University of California, Berkley. Researchers used cell phone data to infer the position of users when they stopped at places such as retail stores, public parks, workplaces and restaurants in 62 cities from June to November 2022 and compared it to the same time frame in 2019.
The new data suggests activity in London’s core has returned to 79 per cent of its pre-pandemic levels — the highest in Canada and 13th overall across the continent, ahead of such cities as Las Vegas, New York, Ottawa, Toronto and San Francisco.
London’s strong showing was a “surprise,” according to Karen Chapple, a professor emerita in geography and the director of the University of Toronto’s School of Cities, who visited the city’s core to see for herself what was behind the robust turnaround.
London’s economy ‘is not very sexy at all’
“London, oddly, was very lucky that it didn’t rely on professional services and tech employment. So London has an economy that is not very sexy at all, and that has made it very resilient. It’s very ironic.”
A large number of single-family homes close to the downtown and 500 units in new residential towers that have recently come online have helped propel activity in the core to levels higher than most cities in the country, according to the study. (Colin Butler/CBC News)
Instead, Chapple said, London has construction work in the form of three or four residential highrises taking shape on the city’s downtown skyline, a vibrant retail sector and healthcare workers downtown.
Those sectors, in combination with a large number of single-family homes close to the downtown and 500 units in new residential towers, have helped propel activity in the core to levels higher than most cities in the country, she said.
“This has been decades in the making and likely not pandemic-induced,” she said.
Unlike commercial real estate reports, Chapple said, the study is far broader in scope, measuring where and when cell phone users stop in the downtown, whether at work or play.
“We’re measuring activity overall, not just office space, so all workers of all types, and we’re measuring visitors walking around and residents,” she said. “I think our study is a bigger picture view of activity downtown, and it gives me a little more hope.”
Study doesn’t measure homelessness, crime
Homelessness, addiction and crime are also issues in downtown London, but not something the study looked at specifically, Chapple said, adding the presence of social problems in a central business district seems to have little effect on whether a city successfully revives its downtown or not.
Homelessness, addiction and crime are also issues in downtown London, but not something the study looked at specifically, Chapple said. (Colin Butler/CBC News)
“If we did get that data, I don’t think we would see a strong correlation.”
“If you look at homelessness and crime, you see they can be high in cities that came back, and they can be high in cities that didn’t come back,” noting Baltimore, San Francisco, and New York are but a few examples.
Barbara Maly, the executive director of the London Downtown BIA, said part of what makes downtown so resilient is the number of “anchors” downtown, such as the Grand Theatre, Budweiser Gardens, the Covent Garden Market and the eclectic shops and restaurants along Dundas Place or Richmond Row that make downtown a destination.
“We’ve definitely seen a strong return,” she said. “I think because of that diversity, because of those anchors and community spots, I think that’s where we’ve benefited.”
TORONTO – Canada’s main stock index was up more than 200 points in late-morning trading, while U.S. stock markets were also headed higher.
The S&P/TSX composite index was up 205.86 points at 24,508.12.
In New York, the Dow Jones industrial average was up 336.62 points at 42,790.74. The S&P 500 index was up 34.19 points at 5,814.24, while the Nasdaq composite was up 60.27 points at 18.342.32.
The Canadian dollar traded for 72.61 cents US compared with 72.71 cents US on Thursday.
The November crude oil contract was down 15 cents at US$75.70 per barrel and the November natural gas contract was down two cents at US$2.65 per mmBTU.
The December gold contract was down US$29.60 at US$2,668.90 an ounce and the December copper contract was up four cents at US$4.47 a pound.
This report by The Canadian Press was first published Oct. 11, 2024.
OTTAWA – The economy added 47,000 jobs in September, while the unemployment rate declined for the first time since January to 6.5 per cent, Statistics Canada reported on Friday.
The agency says youth and women aged 25 to 54 drove employment gains last month, while full-time employment saw its largest gain since May 2022.
The overall job gains followed four consecutive months of little change, the agency said.
The unemployment rate has been steadily climbing over the past year and a half, hitting 6.6 per cent in August.
Inflation that month was two per cent, the lowest level in more than three years as lower gas prices helped it hit the Bank of Canada’s inflation target.
The central bank has cut its key interest rate three times this year, and is widely expected to keep cutting as inflation has subsided and the broader trend points to a weakening in the labour market.
Despite the job gains in September, the employment rate was lower in the month, reflecting continued growth in Canada’s population.
Statistics Canada said since the employment rate saw its most recent peak at 62.4 per cent in January and February 2023, it’s been following a downward trend as population growth has outpaced employment growth.
On a year-over-year basis, employment was up by 1.5 per cent in September, while the population aged 15 and older in the Labour Force Survey grew 3.6 per cent.
The information, culture and recreation industry saw employment rise 2.6 per cent between August and September, after seven months of little change, Statistics Canada said, with the increase concentrated in Quebec.
The wholesale and retail trade industry saw its first increase since January at 0.8 per cent, while employment in professional, scientific and technical services was up 1.1 per cent.
Average hourly wages among employees rose 4.6 per cent year-over-year to $35.59, a slowdown from the five-per-cent increase in August.
The unemployment rate among Black and South Asian Canadians between 25 and 54 rose year-over-year in September and was significantly higher than the unemployment rate for people who were not racialized and not Indigenous.
Black Canadians in that age group saw their unemployment rate rise to 11 per cent last month while for South Asian Canadians it was 7.3 per cent. For non-racialized, non-Indigenous people, it rose to 4.4 per cent.
This report by The Canadian Press was first published Oct. 11, 2024.
TORONTO – Canada’s main stock index was little changed in late-morning trading as the financial sector fell, but energy and base metal stocks moved higher.
The S&P/TSX composite index was up 0.05 of a point at 24,224.95.
In New York, the Dow Jones industrial average was down 94.31 points at 42,417.69. The S&P 500 index was down 10.91 points at 5,781.13, while the Nasdaq composite was down 29.59 points at 18,262.03.
The Canadian dollar traded for 72.71 cents US compared with 73.05 cents US on Wednesday.
The November crude oil contract was up US$1.69 at US$74.93 per barrel and the November natural gas contract was up a penny at US$2.67 per mmBTU.
The December gold contract was up US$14.70 at US$2,640.70 an ounce and the December copper contract was up two cents at US$4.42 a pound.
This report by The Canadian Press was first published Oct. 10, 2024.
