Investment in Canada continues to be strong.
Studies show that the commercial sector in Canada is going to be strong. If you are looking for a commercial investment contact Denise or Darcy!
The latest Investment Trends Survey by Altus Group found that investment activity in Canadian real estate remained strong in the second quarter of this year, a trend fuelled by robust demand with investors predicting that “overall cap rates will remain flat with a modest decline for specific markets and assets.”
“Quarter-to-quarter, Toronto’s cap rates for suburban multi-unit residential and industrial products are anticipated to push downwards,” the report noted. “Tier 1 Regional Malls and downtown Class ‘AA’ office cap rates remain steady, following a slight uplift in retail and a cap rate compression among offices in the previous quarter.”
Meanwhile, “Vancouver’s average overall cap rates for industrial and multi-unit residential moved down slightly from Q1, while Vancouver’s Tier 1 Regional Malls have gently climbed and downtown Class ‘AA’ office remains stable,” Altus added.
The Altus report also noted that while Q2 2018 exhibited a slight decline in the average Overall Capitalization Rate (OCR) at 5.07% (compared to the 5.10% of Q1 2018 and the 5.15% of Q2 2017), first-quarter national investment activity volume stood at $13.2 billion, up year-over-year from $12.7 billion.
Overall, “Investor appetite in real estate remains strong and with a rise in employment and a healthy labour market, demand for office in major urban centres continue to witness moderate growth.”
With many years of experience in the commercial real estate industry, we can help you capitalize on this growth.