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darwink

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Super low interest rates making projects with steady but low returns attractive is the difference today. And why does it have to be federal? Canada is the most decentralized nations in the OECD, yet for some reason the policy prescription always pivots back to the tired canard that "Canada does not have a national X, or Canada needs a national X, or Canada is the only nation without a national X". Truth is, we are also the only nation with super powerful subnational governments (discounting China).
 

Zoom

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That is how it has been. I'm predicting this generation of towers will be different. The strategies of today's real estate investment vehicles is to eventually exit while past generations of individual owner was to rent out and live off the income. The prospects of newer rental buildings continuing to be built for the next 30 years without a federal housing policy is unlikely. At some point, property values will plateau or decline and that will end rental construction. That won't change from past generations. These may still be the newest rental housing stock 30 years from now. (should they remain rental)
You may be right, but I'm hoping you're wrong. I like the way it has been in the past where rental buildings depreciate relative to the market as it allows for some cheaper housing stock.
 

maestro

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Low interests rates have been around for a while. It has attracted some rental investment how the rapid growth in rental construction across Canada in recent years is concurrent with foreign investors flooding the stable, undervalued Canadian market and driving up prices.

Federal was just meant as an example. They spearheaded all previous rental housing booms.
 

Stephen Ave

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Even if new generation of owners exit the buildings and they turn into condos, I would expect individual owners to rent out suites. As long as the towers keep getting built it's increasing the inner city housing supply, and if the demand to live in the inner city stays, new units will keep coming.
 

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