INFLATION, SUPPLY CHAIN AND INSURANCE: TACKLING CANADA’S MULTIFAMILY REAL ESTATE HURDLES
Josh Pillsbury, co-founder and managing partner of Summit Cover, describes a complex and evolving landscape in Canada’s multifamily real estate market, driven by significant demographic shifts and persistent housing shortages. According to Pillsbury (pictured above), the country is facing a supply crunch that is putting immense pressure on both property managers and real estate investment trusts (REITs) to meet demand. “Right now, we don’t have enough housing supply for, you know,...
read moreCALGARY BUILDERS LURE INVESTOR BUYERS
Amid a housing affordability crisis, new construction is essential to meet the demand of Calgary’s growing population. As home-ownership costs rise beyond the reach of many, investor buyers in the new-build condo market play an important role in securing a steady supply of new homes. Investor activity, however, can create significant challenges for first-time buyers, as competing interests emerge. “Developers need to cater to investors to get their projects off the ground,” says Natasha...
read moreHOW P.E.I. RENT INCREASES COMPARE TO INFLATION OVERALL
Rents were a major driver of the post-pandemic inflation surge on P.E.I., but a number-crunching exercise shows they may not yet have reached the point of being unreasonable — at least compared to how much it costs landlords to own the buildings being rented out. P.E.I.’s consumer price index rose 17.7 per cent from 2020 to 2023. A look at where the consumer price index breaks down to rent specifically shows an increase over that same period of 22.7 per cent. This led to complaints from...
read moreSASK. NDP ANNOUNCES PLAN TO ADDRESS RENT AFFORDABILITY CONCERNS
With an eye toward rental rates, the NDP has made another campaign promise — this time to bring 500 Saskatchewan Housing Authority units online within its first year in government and to cap annual rent increases. NDP Leader Carla Beck made the announcement in a downtown Regina park Tuesday morning, flanked by nominees and current MLAs. She said affordability has been the No. 1 issue expressed by the public during her party’s pre-election, door-knocking sessions in anticipation of the coming...
read moreNOVA SCOTIA PROPOSES EXTENDING FIVE PER CENT RENT CAP UNTIL 2027
Nova Scotia introduced a bill Friday to extend the province’s rental cap which currently sits at five per cent per year. The temporary rent increase cap, originally scheduled to expire at the end of 2025, would be in place until Dec. 31, 2027, according to the proposed bill. “The low vacancy rate in Nova Scotia is creating challenges when it comes to the availability and the choice for tenants to decide where they want to live and how they want to live,” said Service Nova Scotia Minister...
read moreAMERICAN INVESTMENT FIRMS POUR BILLIONS INTO CANADIAN REAL ESTATE MARKET
The American real estate titan Hines Interests LP recently announced it is looking to invest $2 billion in Canadian real estate, focusing on apartment rental developments. Hines currently has $3.7 billion in assets under management in Canada. The nearly 70-year-old, privately held company has operated in the country for over two decades and has a mix of commercial and residential projects in its Canadian portfolio. As housing prices in Canada have increased dramatically for several years,...
read moreCANADIAN CONDO PRICES SEE FIRST DOUBLE DIP DECLINE ON RECORD
Canada’s condo market has provided big returns for investors, but it’s currently running on fumes. Canadian Real Estate Association (CREA) data shows the price of a benchmark, or typical, condo apartment fell in July. The investor-dominated segment didn’t see prices fall nearly as much as the general market since rates began climbing. However, condos have resumed a downturn after a short break, as rate cuts fail to bring a surge of buyers that many had anticipated. Canadian Condo Prices Slip...
read moreTORONTO’S CONDO MARKET TO ‘GET WORSE’ AS PRE-CONSTRUCTION STARTS ‘FALLING OFF A CLIFF’: EXPERT
Real estate markets will feel the downstream effects from a slowdown in Toronto’s condo market, according to one real estate expert who expects fewer completions of new units over the next few years. Last month, Bloomberg News reported that Toronto’s condo developers saw sales of new units in the first half of the year fall 57 per cent from the previous year, marking the slowest pace in 27 years amid high interest rates and a pullback in demand. Additionally, a report by CIBC Economics and...
read moreMISSISSAUGA LAUNCHES $44 MILLION PROGRAM TO BOOST AFFORDABLE RENTAL HOUSING
Mississauga city council has approved a $44 million Community Improvement Plan (CIP) aimed at increasing the supply of affordable rental housing, including financial support for developers committed to constructing affordable rental units. “The availability of affordable rental housing is a critical issue in Mississauga. Through financial incentives, we aim to address some of the financial challenges developers face,” said Andrew Whittemore, Commissioner of Planning and Building. “We listened...
read moreTORONTO EXPANDS AFFORDABLE HOUSING EFFORTS WITH $50 MILLION FUND TO ACQUIRE VACANT CONDOMINIUMS AMID MARKET GLUT
Toronto has expanded its housing acquisition programs to support the purchase of condominiums — some vacant for months and deeply discounted amid a glut of new units — to bring them into the city’s affordable housing fold. “We often get approached by people who are interested in finding partners to buy units that are currently unoccupied or available, so we have changed some of our programs to enable that to happen,” Abigail Bond, the executive director of the city’s Housing Secretariat, said...
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