FILLING HOUSING NEED

Finding solutions to improve Canada’s housing supply continues to be a focus of discussion among those invested in the CRE sector. Recently, Canada’s national association representing real estate companies and institutional investors, REALPAC, launched an online campaign highlighting the essential role the rental housing market plays in filling housing need. According to the new campaign, the barriers impeding progress remain considerable. While owners of aging apartment towers are faced with choosing between completing vital repairs and managing increased operating costs, developers trying to pursue healthy new rental projects are contending with inflation, high interest rates, high construction costs, slow development timelines, and high development taxes in addition to stringent government regulations and sustainability mandates.

As Michael Brooks, CEO, REALPAC, put it: “The cost pressures that people feel in Canada are also felt by landlords. Many rental buildings are over 50 years old, and fixing them is both necessary and expensive. Developers and investors are willing and ready to do their part to help rejuvenate the purpose-built rental sector, and we ask all orders of government to work with us to enable the process.”

You can read all about REALPAC’s suggestions for improving housing supply at www.REMInetwork.com.

Also speaking to the complex business of rental housing are five of Canada’s largest REITs, who came together to form ForAffordable.ca last November. See page 14 for a detailed look at the group’s proposed steps to improve housing supply.

In other news, the purpose-built rental sector has been active throughout the past few years. On our cover, we feature a wonderful new rental project designed by the Toronto-based firm, Figure3. Known as “The Parker”, the 40-storey rental tower exemplifies the future of apartments in Canada, and aptly showcases the meaning of “curb appeal” in the modern, post-pandemic era.

Enjoy our first issue of 2023!

Erin Ruddy @cdnapartmentmag