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As September winds to a close and students are back in the classroom, housing and immigration are topics on the minds of many Canadians, given they are intricately bound. New, tighter restrictions for international students at Canadian colleges and universities have been a source of concern for the industry, with fears mounting that the latest round of policy changes could have dire consequences for both institutions and the economy.
According to Colleges and Institutes Canada (CiCan), the latest set of government reforms, announced September 18th, not only further reduce the number of temporary residents and foreign students coming to Canada, they also introduce changes to post-graduate work eligibility. Given immigrants fill a significant portion of jobs—up to one-third, in some sectors— CiCan argues it could mean more trouble for Canada’s already under-served construction industry.
In this issue, housing starts, and the skilled labour shortage take centre stage, along with the new policies and regulations intended to speed up housing construction. In our cover story, we look at one developer’s ongoing journey to overcome red tape and process delays as it attempts to build 1,500 rental units by 2028. We also look at the cost of insurance, a landmark Indigenous project and other timely topics.
We hope you enjoy our editorial line-up—and please feel free to reach out through our social media channels to add your voice to the conversation.
Sincerely,
Erin Ruddy
Editor Erin Ruddy
Art Director Annette Carlucci
Graphic Designer Thuy Huynh-Guinane
Production Coordinator Ines Louis
Contributing Writers Atakan Guven Andy Schwartze
National Sales Jake Blanchard Melissa Valentini
Digital Media Director Steven Chester
Circulation Adrian Holland For sales information call (416) 512-8186 Canadian Apartment Magazine is published six times a year by:
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Manufacturers: Those wishing to have their products reviewed should contact the publisher or send information to the attention of the editor. The opinions expressed are those of the authors of articles and do not necessarily reflect the views of Canadian Apartment Magazine. This information is general and is not a substitute for legal advice. Sworn Statement of Circulation: Available from the publisher upon written request. Although Canadian Apartment Magazine makes every effort to ensure the accuracy of the information published, we cannot be held liable for any errors or omissions, however caused. Printed in Canada.
Source: StatsCan 2024
Dec 4 - 6, 2024
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by Erin Ruddy
TAPPING INTO THE POWER OF
The path to smarter, more sustainable buildings and cities begins with leveraging real-time data
By Atakan Guven
BRINGS HOPE TO EAST HASTINGS
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Stable and healthy rental market conditions were reported in Canada’s major urban areas during the summer of 2024, keeping in line with the trend of the post-pandemic period. According to Keith Reading, Director of Research at Morguard, rental market conditions remained tight, with vacancy rates holding in the low single digit range across most of the nation’s larger metros.
“A lack of ownership affordability helped ensure largely stable and healthy rental demand patterns and low tenant turnover rates,” he said. “International immigration was also continuously supportive of rental demand.”
That said, Reading pointed out that downward pressure on asking rents in Toronto and Vancouver was evident, with a “modest demand softening” in these markets.
Meanwhile, rents continued to rise in Alberta, driven by increased demand rooted in record-high inter-provincial and international migration. The relatively low cost of housing in that province drew prospective renters that were unable or unwilling to pay the high rents in Vancouver and Toronto.
“Rental market conditions are expected to remain stable and healthy over the balance of 2024, in keeping with the recent trend,” Reading said.
On the investment front, apartment sales activity picked up in September, driven in part by a handful of significant transactions across the country. Investors continued to exhibit confidence in Canada’s multi-suite residential rental property sector’s longer-term outlook. Reading added that “as interest rates decline, investment activity will increase, and property values will stabilize.”
In late August, Morningstar DBRS published a comprehensive analysis of the North American multifamily rental market targeting property owners and operators from a credit-risk perspective. The three-part research series delves into the intricacies of the sector, offering a detailed exploration of the current and future state of the market in both Canada and the US.
According to the first installment, the strong multifamily fundamentals found in key undersupplied North American rental markets will continue to provide multifamily owners and operators the ability to increase revenues amid rising construction costs, high prices for land, and the shortage of skilled labour. In addition, the research indicates that larger rental housing operators with strong ownership, liquidity, robust access to capital, and a balanced capital structure will be better positioned to withstand economic fluctuations and maintain favourable credit ratings.
“While the North American multifamily rental sector will face numerous challenges in the near to medium term, such as economic uncertainty, cost inflation on services, taxes, insurance, high interest costs, and challenging labour supply, experienced multifamily owner/operators should be well equipped to mitigate these and other risks,” said Aniruddha Jadhav, Assistant Vice President – North American Corporate Real Estate Ratings.
Fo r the full report entitled, “The Multifamily Market Metamorphosis: Exploring North American Multifamily Rentals Through the Real Estate Methodology”, visit dbrs. morningstar.com.
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With a greater focus on housing density, student housing, homes near transit and affordable housing, the federal government’s Housing Accelerator Fund (HAF) was introduced in 2023 to help municipalities expedite affordable housing construction in their communities. September 13th marked the closure of the application portal for the second round of the HAF. In a recent update, CMHC announced that communities such as Fredericton, London, Kitchener, Brandon and Saanich have demonstrated concrete actions in their respective plans as they progress toward milestone achievements.
The annual pace of new home construction in Canada slowed 22 per cent in August compared to July, according to the latest data from CMHC. Multi-unit urban starts, including apartments, condominiums and townhouses, dropped 29 per cent to 154,290 units, while the rate of single-detached urban starts rose three per cent to 45,188.
The six-month trend in housing starts decreased 2.9 per cent from 255,794 units in July to 248,480 units in August. This trend-measure is a six-month moving average of the seasonally adjusted annual rate (SAAR) of total housing starts for all areas in Canada.
In Canada’s urban centres with a population of 10,000 or greater, there have been 149,922 actual housing starts year-to-date (January – August) in 2024. This compares to 143,229 for the same period in 2023—meaning housing starts are currently 5 per cent higher this year.
“Growth in actual year-to-date housing starts has been driven by both higher multi-unit and single-detached units in Alberta, Quebec and the Atlantic provinces,” said Bob Dugan, CMHC’s Chief Economist.” By contrast, year-to-date starts in Ontario and British Columbia have decreased across all housing types. As the housing shortage continues, higher levels of construction are needed to restore affordability in Canada’s urban centres.”
Actual year-to-date housing starts between January and August 2024 were up 39 per cent in Montreal over the same period last year, showing some recovery from historically low new home construction in 2023.
In Vancouver, actual starts were down 20 per cent compared to 2023, which was a record-high year for housing starts. Actual year-to-date housing starts in Toronto were down 14 per cent from 2023, which was also a high year for housing starts by historical standards.
he Housing Accelerator Fund is currently helping 177 communities across Canada increase their ambition on housing by reaching their goal of increasing housing supply in their municipalities,” said Sean Fraser, Minister of Housing, Infrastructure and Communities. “By working with towns, cities, mayors, and all levels of government, we are helping to get more homes built for Canadians at prices they can afford.”
London, ON, was the first HAF city to approve a bylaw to permit four units as of right; it also recently advanced “ambitious height permissions” of up to 45 storeys around its new bus rapid transit stations in the downtown core. London’s downtown will see additional homes created in vacant office buildings through a recently announced office conversion grant program funded by HAF.
Fredericton, NB, also committed to allow four units as-ofright, city-wide and to increase density in proximity to postsecondary institutions. As part of its HAF Action Plan. The city is partnering with local First Nations housing providers for off-
reserve affordable home ownership and making City-owned land available to enable mixed-use developments while promoting alternate forms of housing (i.e. premanufactured).
Kitchener, ON, has become one of the first HAF communities to fulfill its commitment to approve inclusionary zoning. In April, the City donated land to fulfill part of its HAF commitment to help support the creation of 10,000 half-price homes through the ‘BuildNOW Waterloo Region’ initiative.
Brandon, MB, reflected the spirit of HAF with ambitious efforts to exceed the agreement in terms of parking and density. They have introduced a program to incentivize housing in the downtown, using $1.5M in HAF funding for developer tax credits, development charge offsets and capital grants.
Saanich, BC, focused on pre-zoning of university-owned sites for multi-unit developments, providing much-needed accommodation within walking distance to the University of Victoria. The City also developed new parking standards, digitizing the application process, and a revised review process aimed to enhance the speed and number of new permits.
With these measures in place, along with dozens of other agreements currently underway across Canada, the government says HAF will help cut red tape and fasttrack a minimum of 10, 000 permitted new homes over the first three years, which cities and regions estimate will lead to the creation of over 750,000 permitted homes for people in towns, cities and Indigenous communities over the next decade.
Local governments were encouraged to “think big and be bold”—and many are now implementing transformational approaches to housing that will create a pathway to solving the housing crisis in their communities. This includes measures such as ending exclusionary zoning and removing barriers to development, making City land available for housing, and improving development approval processes to make it faster and easier to have housing proposals progress. Rural municipalities are also implementing changes that meet the needs of their communities, with a greater focus on updating local infrastructure and
modifying zoning for more gentle density options.
The first round of the Housing Accelerator Fund program received 544 applications, of which 178 resulted in signed agreements. Launched in March 2023, it is a $4 billion initiative from the Government of Canada that will run until 2026 – 27. In Budget 2024, Canada announced an ad -
ditional $400 million to fund, to incentivize an additional 12,000 new homes in the next three years.
The Housing Accelerator Fund is part of Canada’s National Housing Strategy (NHS), an $115+ billion plan to give more Canadians a place to call home. Progress on programs and initiatives are updated quarterly at www.placetocallhome.ca.
For more information on housing starts in Canada, please visit the CMHC website
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by Atakan Guven
In the past decade, cities have increasingly turned to urban analytics to address a range of challenges. From improving infrastructure to enhancing sustainability and boosting overall livability, urban analytics leverages vast amounts of data to monitor and optimize everything from traffic patterns to energy consumption to public health initiatives.
For apartment developers, using this datadriven approach can guide better decisionmaking, ensuring that high-density living spaces are both efficient, healthy and desirable. It can help lower emissions, increase social connectivity and facilitate faster construction.
The ability to gather and use real-time data is a powerful tool that wasn’t previously available—hence the issues many cities are facing today, like increased traffic congestion, lack of greenspace and neighbourhoods without adequate infrastructure. According to a report by McKinsey Global Institute, cities using advanced analytics can expect to improve their infrastructure efficiency by 15 to 30 per cent, significantly lowering operational costs and energy consumption along the way. Another report adds that urban areas leveraging
AI-powered applications can reap multiple benefits, including improved sustainability, quality of life, and long-term health and safety.
As cities grow and become more populated, high-density apartments are an integral element of urban design, reducing sprawl and ensuring cities evolve intelligently with future growth in mind. Urban analytics can help developers identify optimal locations for new buildings; it can help speed up the land acquisition process, including environmental studies, design approvals, and permitting, leading to faster, more efficient construction.
On the sustainability front, cities are increasingly being held to higher standards, and data is playing a pivotal role in meeting these
expectations. Using data, cities can monitor air quality, track energy consumption, and develop more sustainable housing options. Given highdensity apartments are seen as a key solution to the space limitations and environmental concerns faced by modern cities, with urban analytics, residential developers can determine the most efficient building designs, ensuring they meet the needs of residents while minimizing their environmental footprint.
Essentially, urban analytics is about more than improving operations — it’s about creating cities and homes that are adaptable, efficient, more livable, and more resilient to withstand the test of time.
Urban analytics allows planners to analyze
patterns such as population density, traffic flow, and energy consumption to design cities that are more functional and sustainable.
As cities grow and high-density apartments become increasingly important to filling housing need, managing space effectively is a critical challenge. Urban analytics helps developers pinpoint ideal locations for high-density residential projects, considering factors such as access to public transportation, local amenities, and current infrastructure capacity. This datadriven approach ensures that high-density housing developments are strategically placed to meet the needs of the growing urban population while also minimizing urban sprawl and resource overconsumption.
Moreover, data-driven city planning allows for more responsive infrastructure development. By continuously monitoring urban systems, cities can adapt and evolve based on real-time data. For instance, if a city experiences rapid population growth in a specific district, data can guide decisions on where to build new roads, schools, or healthcare facilities. This level of responsiveness ensures that infrastructure keeps pace with urban growth, leading to more resilient and future-ready cities.
Data-driven insights are revolutionizing how cities are planned and how infrastructure is developed, enabling a more adaptive and forward-thinking approach. With the rise of urban analytics, city planners and developers can move beyond traditional urban design methods and instead base their decisions on real-time data and predictive models. This shift leads to smarter, more efficient cities that are better equipped to meet the needs of their residents.
Urban analytics is proving to be a powerful tool in enhancing public health and safety in cities. By collecting and analyzing data from various sources, city planners and public health officials can make informed decisions that directly impact the well-being of residents. This data-driven approach allows for more proactive and efficient responses to public health challenges, as well as the creation of safer urban environments.
One of the most significant ways urban analytics is transforming public health is through real-time monitoring of factors such as air quality, disease outbreaks, and healthcare access. Cities can now able to track air pollution levels in different neighbourhoods and implement measures to reduce harmful emissions in areas where residents are most affected. For example, a study from the World Health Organization
shows that reducing air pollution can lower the incidence of respiratory illnesses. By using data to target high-risk areas, cities can take immediate action to improve air quality and protect public health.
Urban analytics also plays a critical role in emergency response and public safety. By analyzing patterns in crime, traffic accidents,
As our urban centres grow, data will drive every critical decision, from where to build high-density apartments to how to improve air quality and public safety. For apartment developers, property managers, and city planners, the message is clear: those who leverage data will lead the way in creating cities that are not only smarter but also
Medallion sets out to build 1,500 rental units by 2028 despite red tape and other obstacles
By Erin Ruddy
In late August, Medallion Corporation announced it was embarking on a mission to construct six new purpose-built rental developments in Toronto, Oshawa and Ajax—projects that will bring over 1,500 units to market, filling a void of need at a time when housing is in short supply. But despite recent policy changes and government programs intended to create a more favourable environment for rental construction, the road forward hasn’t been easy.
Ground-breaking ceremony at 591 Sherbourne. Left to right: Yvonne Yorke, Senior Property Manager, Medallion; Rad Vucicevich, Director of Development and Construction, Medallion; Henry Burstyn, Director, Sr. Practice Lead Architecture, Arcadis; Rishit Davar, Project Coordinator, Medallion; Isaac Gabay, Construction and Development, Medallion; Nathan Bleeman, Vice President, Medallion; Jaclyn Lipkowitz, Marketing Manager, New Construction, Medallion; Salwa Abo Sheemy, Architect, Arcadis; Mo Bethani, Construction Manager, Medallion; George Espinola, Director, Residential Property Management, Medallion; Roisin Webb, Property Manager, Medallion.
There has been no lack of red tape, especially with the City of Toronto,” observes Rad Vucicevich, director of development and construction at Medallion. “So far, we’ve encountered problems trying to get permits, trying to get approvals and trying to get the moving on construction. While some delays are understandable given what’s been going on these past few years, there is a housing crisis, and we need to do things faster. Some municipalities appear to have a better handle on it than others.”
Policymakers and officials in Oshawa, for example, have been more expedient at laying the groundwork for Medallion’s epic rental project, while Toronto has not kept pace.
“Oshawa city councillors have pushed things along faster with fewer unnecessary hurdles,” he says. “It’s a large site on Bruce Street comprising many buildings. The first phase will result in 509 rental units in two towers, one being 10 storeys and one being 22 storeys. So, it’s an important project for the city, and they recognize that.”
The other projects in Medallion’s portfolio include a nine-storey building at 3101 Bathurst Street and a 51-storey high-rise at 591 Sherbourne Street in Toronto, and two eightstorey buildings on Rossland Road near the border of Whitby and Ajax. While construction
recently kicked off on the latter project, Vucicevich is hopeful the Toronto buildings will gain some momentum before year’s end.
“The level of detail required to get approvals in Toronto is much more onerous these days,” he says, adding that on top of the red tape and permit issues, construction costs are elevated and the demand in unmatched. “Interest rates have come down, which is good, but they still have a significant impact on our project budgets.”
Then there is the matter of development charges—something many jurisdictions continue to impose at rates that may greatly impact a project’s viability.
“Some local governments are taking their housing shortages seriously and recognizing the need to develop and revitalize particular neighbourhoods,” Vucicevich says. “They are waiving development charges, and in some cases, financially contributing to the projects— which is the case in Oshawa and Ajax.”
Meanwhile, at the provincial level, he points out that there have been some legislative improvements with waiver of the provincial component of HST and development charges coming down for purpose-built rentals, signalling the government is finally recognizing
that rentals and condos operate with different business models. Other positive outcomes have resulted from new federal initiatives, such as the CMHC Apartment Construction Loan Program as well as the tax waiver.
Still, it remains a challenging climate for purpose-built rental construction, and Vucicevich says if he could go back to a time when building rental housing was the most optimal, it would be to the years prior to the pandemic.
“It’s never been a great time for rental development in Canada, but certainly preCOVID when the interest rates were lower, when development charges were lower, and when rents were lower, and construction costs were lower, the math just made more sense,” he says. “For now, we are relying on governments to recognize the urgency to build more housing and do what they can to support us in our endeavour to speed up construction and keep costs down, which is in everyone’s best interests.”
Design-wise, Vucicevich says the new buildings will reflect their surrounding communities, each with its own aesthetics and amenities intended to suit a specific demographic.
3101 Bathurst (159 suites)
Located near Bathurst and Lawrence in Toronto, the nine-storey mid-rise will be built on the site of a former commercial tower and gas station. There will be a mixture of one-bedroom (45%), twobedroom (47%) and three-bedroom (8%) suites.
591 Sherbourne (532 suites)
This is Medallion’s second new tower in St. James Town and includes a full revitalization of the St. James Town West Park, which will incorporate Indigenous perspectives into new pathways, seating options, lighting, a medicine garden, skateboard plaza, sculptures, and a drinking fountain with dog bowl. The 51-storey rental building will mostly feature two-bedrooms, while the onebedrooms will range from 525-600 square feet, offering renters larger footprints than the average one-bedroom condominium offering.
Rossland Road East (357 suites)
Located in Ajax, this development features two, eight-storey rental apartments consisting of 336 suites and 21 townhomes. The buildings will feature 50% two-bedroom suites, with the remainder as one-bedroom and three-bedroom offerings. As part of the municipality’s plans to a greater density to the area, the Town of Ajax is building a park adjacent to the building as well as improving trails. Some of these projects have become viable due to federal government incentives, namely the GST/HST new residential rental property rebate.
135 Bruce Street (509 suites)
Two 22- and 10-storey rental apartments, built with incentives from the City of Oshawa and Durham Region. Medallion will develop a 27-acre parcel of property to expand Oshawa’s downtown core and provide transit-friendly living options for residents.
“We tend to design for the neighbourhood based on the comments we get from the community and the planning department. Essentially, we try to create an aesthetic that will adhere to the needs of the future tenants,” he says. “For instance, our buildings in downtown Toronto will be home to more young professionals and students; therefore, the units will be smaller, and the amenities will include co-working spaces, fitness rooms, party rooms and more urban amenities.”
In the other buildings, Vucicevich says there is an increased focus on twobedroom units to accommodate families and empty-nesters seeking larger dwellings in commuter-friendly areas.
Scheduled for completion in 2028, Medallion is committed to pushing forth and excited for what the future brings—more quality, purpose-built rentals designed and built for long-term occupancy.
Medallion Corporation is a privately owned, Toronto-based real estate development and property management company with more than 60 years’ experience. For more information, visit: medallioncorp.com
A new report from Desjardins points to the ongoing labour shortage in the construction industry as the primary constraint holding back new housing starts. Despite the federal government’s vow to unlock 3.87 million new homes by 2031, the report projects there will be a significant shortfall.
While the federal housing plan could translate into nearly 70,000 additional housing starts in 2028 thanks to new measures such as tax incentives and efforts to build more housing on public lands, new housing starts still won’t come close to achieving Canada Mortgage and Housing Corp.’s estimated targets for restoring affordability by 2030.
“At the end of the day, building 5.8 million new homes in the next eight years would be an ambitious plan even if all the stars aligned,” the authors wrote, adding that it took three decades to build the last 5.8 million homes. “With significant labour, materials, financing and regulatory constraints, the stars aren’t currently aligned in Canada.”
According to an article by The Canadian Press, Canada needs more than one million additional residential construction workers to meet CMHC’s target as per estimates from the Canadian Home Builders’ Association.
“Amid slower population growth and an immigration system that is not focused on attracting skilled tradespeople, an even greater share of domestic resources will need to be dedicated to residential investment to meet federal housing targets,” it said.
Elevated interest rates and inflation have also increased the cost to finance construction projects, as have regulations such as those requiring builders to use more costly climateresistant building materials due to extreme weather.
by Erin Ruddy
A landmark Indigenous-led, mixed-use housing development is underway in Vancouver’s Downtown Eastside that’s set to bring 150 rental homes, 25 supportive housing and 80 shelter beds to market by late 2025. Named Ho’-keemelh Kloshe Lum, which means “to gather, good spirits”, the cojoined towers will prioritize Indigenous residents and include larger family-oriented homes, ceremonial space, support services, and other key amenities.
Construction on the $97-million project kicked off more than a year ago, but the vision originated in 2009, when Susan Tatoosh, executive director at Vancouver Aboriginal Friendship Centre Society (VAFCS), became a force for combatting housing insecurity in the beleaguered Eastside neighbourhood. Located at 1607 East Hastings Street, VACFS’s headquarters has long been rooted in the highest concentration of Indigenous Peoples in Vancouver, offering an array of services from the Centre including health and welfare programs, cultural education, human rights advocacy and recreational activities.
While Ho’-kee-melh Kloshe Lum is a huge undertaking for VACFS
compared to past housing projects, it’s also a symbol of hope—and a testament to what can be achieved with a strong vision, strong leadership, and a shared commitment to tackling Vancouver’s homeless crisis.
The project is the result of a partnership between the Province of BC, the federal government, the City of Vancouver, the Aboriginal Housing Management Association, and VAFCS, with development support from Western Canadian Properties Group and M’akola Development Services.
“We are proud to work in partnership to demonstrate ‘Reconciliation in Action’ and our shared commitment to upholding the United
More than 1,600 new affordable rental homes are coming to British Columbia for Indigenous people, both on and off reserves. The homes are part of the Building BC: Indigenous Housing Fund (IHF), a $1.7-billion provincial program, administered by BC Housing to support the government’s target of delivering 3,500 homes for Indigenous families, elders, individuals and people with disabilities.
The new homes will include 41 on- and off-reserve projects that will provide 1,662 affordable rental homes. It includes 667 onreserve homes for First Nations members and 995 off-reserve homes for Indigenous people.
When the IHF was launched in 2018, B.C. became the first and only province in Canada to invest in First Nations’ housing on
Nations Declaration on the Rights of Indigenous Peoples by providing culturally safe, affordable and accessible housing that is operated by and for Indigenous Peoples,” Tatoosh said at the groundbreaking ceremony in August 2023. “We are excited to welcome community members to an environment where Indigenous placemaking is prioritized and our community members see themselves when they walk through the door.”
When complete, Ho’-kee-melh Kloshe Lum will feature a café and a Klatawa DIY bike shop—both to be operated by VAFCS in addition to the supportive and affordable homes. Residents and visitors will have access to a courtyard, a rooftop multipurpose room and a multi-level day centre offering a range of services, a library, an art studio and counselling spaces.
Funding-wise, $57.27 million was supplied through BC Housing, including $34 million through the Supportive Housing Fund and $23 million in Affordable Rental Housing grant funding. The federal government provided $22 million, including $19 million in co-investment funding through the Canada Mortgage and Housing Corporation and $3 million from the Indigenous Community Infrastructure Fund. The City of Vancouver contributed $4.6 million in combined grants and fee waivers, as well as the land for the project, which was valued at $13.3 million under a nominal-fee leasehold agreement.
Since 2017, M’akola Development Services (MDS) has been working with VAFCS and BC Housing as a development consultant on the project, helping to guide future programs
reserve, a federal jurisdiction. With this latest project selection, more than 3,220 IHF homes are now open or underway.
“With each new home built through the Indigenous Housing Fund, we are taking meaningful action to address the critical need for culturally supportive shelter and foster a lasting vision of community and resilience for First Nations in British Columbia,” said Regional Chief Terry Teegee of the BC Assembly of First Nations.
Through the Indigenous Social Housing Management Agreement, operating agreements with off-reserve Indigenous non-profit housing organizations will be administered by the Aboriginal Housing Management Association (AHMA). AHMA is the first for Indigenous, by Indigenous housing authority established in Canada. Its members manage more than 95 per cent of all Indigenous-housing units located off reserve in B.C.
that will support guests and residents on their journey to wellness, stability and independence.
The development was designed by Low Hammond Rowe Architects, a Victoria-based partnership specializing in large residential projects throughout BC.
In every industry, brand reputation matters, and the apartment sector is no exception. Brand reputation is the perception that unfolds in the minds of tenants, employees, and investors when they hear your company’s name. It’s the cornerstone of a successful business, articulating the core values of your team, and setting good property managers apart from the competition. A stellar reputation also builds trust with stakeholders, local residents, and the surrounding community.
“Reputation management helps shape the public’s perception by influencing the information they hear and receive about a company,” says Nicole Harris, founder of Solv Communications. “In the high-stakes, fastpaced world we live in, decisions are driven by
credibility and trust. Your company’s reputation is not just one aspect of your business – it IS your business!”
Here, Harris shares her top tips and strategies to help property managers elevate or maintain their brand’s reputation.
1.Monitor social media and third-party reviews. This can be achieved by setting up alerts using your company’s name. Being a part of the discourse, whether positive or negative, shows you care and gives you the chance to respond.
2.
Stay ahead of threats by conducting pulse checks with your leadership. Every quarter, ask your property managers, “what is keeping you up at night?” Work to address smouldering issues before they erupt and leak outside your organization.
3.
Develop a crisis communication plan before it is needed. Create a rapid response team with roles and responsibilities, identify and mitigate vulnerabilities before they become a problem, create hold statements to keep your tenants informed of any issues, and more.
4.Use Search Engine Optimization (SEO).
SEO is a powerful ally to amplify your brand by improving your online presence in online search results. By generating content with relevant keywords, you can boost your online visibility, driving more traffic to your website while improving your online reputation.
5.
Build strong relationships with local media. Sharing good news stories about how your property management company is providing much-needed housing, or contributing to a charity, makes for excellent PR for building your brand. And in bad times, a good crisis manager knows how to use media to turn potential PR issues into opportunities that showcase your company’s values.
6.
Cultivate internal and external brand advocacy via stakeholder engagement programs. Creating user-generated content (UGC), integrating influencer marketing, and other brand advocacy strategies can elevate your brand’s reach.
7. Pay it forward through community involvement. Being involved in your local community by sponsoring events or participating in charity drives not only builds your reputation but also strengthens your relationship with the community. People love businesses that pay it forward.
“The reality is reputation management is an ongoing process,” Harris says. “We live in a fastpaced news cycle, but that doesn’t mean you can ignore bad news that may damage your reputation. Most times, addressing issues proactively is the best way to have your side of the story heard and understood. This helps you shape the narrative and prevents others from filling the void with misinformation. Over time, when people search
your company, they will notice that you not only acknowledge and address issues but are proactive to prevent future ones. Nobody is
perfect but showing that you are committed to improvement will go a long way to instilling trust and confidence in your brand.”
Nicole Harris is the Founder of Solv Communications, a PR and Reputation Management agency specializing in property management, real estate, and property development reputation management.
Global real estate investment manager Hines recently celebrated the completion of its Park Central master plan with the grand opening of Two Park Central, a luxury high-rise located in the Beltline neighbourhood of Calgary. The 405,590-square-foot building features 531 upscale rental suites across 40 storeys.
In 2020, Hines completed One Park Central, a 368,216-square-foot luxury rental tower, and now manages
approximately 1,300 residential units in Calgary, both within its own portfolio and on behalf of third-party entities.
“The completion of Two Park Central further builds upon the nearly 20-year legacy that Hines has cultivated in Calgary,” said Avi Tesciuba, Co-Country Head for Hines Canada. “One and Two Park Central set the standard for rental living in Canada through our best-in-class amenity programming and property management platform. This project exhibits not only our capability to deliver in-demand, well-curated luxury residential product to this market, but also our commitment to the community in creating a dedicated space for local, celebrated artists to thoughtfully present engaging artwork that will inspire residents for years to come.”
The Park Central master plan includes space for artwork to be showcased along the elevated breezeway connecting the two residences. As part of the opening ceremony, Hines unveiled two pieces of art by award-winning Canadian artists Ron Moppett and Katie Ohe.
In addition to the art, Two Park Central includes a host of on-site amenities and 5,100 square feet of street-level retail space intended for several prominent local food and beverage tenants. A variety of retail and dining options also exist within the immediate vicinity of the towers.
The federal government has launched the Canada Public Land Bank, a tool linking builders to federal properties available for lease and where plans can be submitted to turn existing facilities into housing. The Canada Public Land Bank currently features 56 federal properties that have been identified as suitable for housing development, including five properties intended for immediate leasing, but the list will grow in the coming months.
“Available, accessible and af fordable housing options are scarce, and too many people do not have a safe place to call home,” said Minister of Public Services and Procurement, Jean-Yves Duclos. “We need to do things differently and work in partnership to build more homes, faster.”
Canada Lands Company, in partnership with Canada Mortgage and Housing Corporation, has launched a call for proposals from housing providers to access some of the Canada Public Land Bank properties available in Toronto, Edmonton, Calgary, Ottawa and Montréal on a long-term leasing basis at a discounted value. The
detailed proposal information can be accessed through direct links in the property listings in the land bank.
Additionally, the government says it is accelerating its real property disposal process to match the speed of builders and the urgency of getting affordable homes built. Public Services and Procurement Canada will adopt service standards to deliver these properties to interested partners for the purposes of housing. New measures will continue to be announced under the Public Lands for Homes Plan in the coming months.
Meanwhile, to provide feedback on the land bank and its properties, the federal government is launching a call for housing solutions through a secure online platform. Input provided will inform the development of these properties, including engaging the broader interest of Indigenous Peoples and organizations, community organizations, builders, and other partners and housing providers.
Multifamily real estate entities reporting to GRESB, the global assessment and benchmark for the ESG performance of portfolios, can expect new criteria next year. The GRESB Foundation has issued a notice of changes to be implemented in 2025 with a promise of more details later this fall.
The slate of ESG indicators, which collectively underpin GRESB scores, will be revamped to better reflect residential operations and management considerations. Some existing indicators will be culled; others will be revised or given new weights within the total score; and new ones will be added.
GRESB calls the move part of a “wider effort to bring greater sector specificity to the standard” and it is also in sync with growing participation from the multifamily sector. Speaking during a recent webinar, Dan Winters, GRESB’s senior director, strategic initiatives, reported that multifamily accounted for the largest share of new respondents to the recently completed 2024 assessment from a property sector perspective.
In its 15th year, more than 2,200 real estate entities, encompassing roughly 210,000 individual assets worldwide, participated in the GRESB assessment. That’s up from 2,084 portfolios, collectively comprised of 170,000+ assets, in 2023.
Winters theorized the ever-expanding roll of reporting entities is tied to investor demand and, particularly, institutional investors’ need to meet targets for the reduction of greenhouse gas (GHG) emissions and prove other types of environmental and social compliance. At the same time, many of those investors are shifting their real estate allocations away from office properties and into other asset classes.
“We’ve got a lot of 2050, 2045, 2040 commitments, particularly from the big pension plans, and they’re looking for partners in progress to drive down their carbon footprints and to report up to their chief investment officers as well,” he said. “We traffic in non-financial data, and we’ve put a framework and process around nonfinancial measures that are first and second order material to LP (limited partners) and pension plans.”
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Asking rents for purpose-built and condominium apartments in Canada increased by 4.7 per cent marking the slowest annual rate of rent growth in nearly three years, according to the latest National Rent Report. On a month-over-month basis, average asking rents decreased by 0.1 per cent, extending the trend of moderation seen in Canada’s rental market since May.
“Rent increases in Canada finally returned to their longerterm average after nearly three years of excessive growth,” said Shaun Hildebrand, President of Urbanation. “This was achieved through a combination of more supply being built, as well as a rollback in demand from population-related changes in government policies.”
In August, purpose-built apartment rents rose 6.2 per cent to an average of $2,118, while condominium apartment rents edged up by just 0.1 per cent, averaging $2,308. Studio condominium rents declined for the sixth consecutive month, down 3.3 per cent annually to $1,825, while purpose-built studio rents surged by 10.7 per cent to $1,784.
B.C. and Ontario remained the provinces with the highest rents, despite experiencing annual declines. In B.C., average apartment rents dropped 5.2 per cent annually to $2,536, while Ontario saw a 4.3 per cent decline to $2,390. Meanwhile, Saskatchewan led rent growth with a 21.4 per cent annual increase, bringing average apartment rents to $1,338.
Among Canada’s six largest markets, Edmonton was the only city to record annual rent growth, with apartment rents rising 9.2 per cent to an average of $1,579. Calgary, Ottawa, and Montreal all experienced marginal declines, while Toronto saw the steepest decline at 6.9 per cent. Vancouver continued its nine-month streak of annual declines, although apartment rents began to trend upward again.
Shared accommodation listings recorded an 8.0 per cent annual increase in asking rent across four provinces, reaching an average of $1,011 in August, the highest on record. Despite this, roommate rents in Vancouver and Toronto saw declines, dropping to $1,481 and $1,234, respectively. Other major markets experienced increases, with Calgary reaching $928, Ottawa at $944, and Montreal at $950.
Nearly 1,200 rental homes will soon be available to middleincome residents of Langley and Burnaby through projects financed by BC Builds, a program that leverages underused land and repayable loans for builders at lower rates than offered through banks.
Launched in February 2024, BC Builds is designed to overcome challenging market conditions and deliver lower-cost rental homes for people in communities throughout B.C. The program also provides grants to ensure greater affordability and works with municipalities, landowners, residential builders and housing operators to move projects from concept to construction within 12 to 18 months.
“We’re delivering homes middle-income people can afford, in our community,” said Megan Dykeman, MLA for Langley East. “Through programs like BC Builds, we’ll be welcoming over 700 homes to Langley, and over 400 in Burnaby, so that the people who support our communities can afford to live in them. This will make a profound difference for families in these communities.”
Construction is now underway on The Colton (Phase 2), located at 8539 201B St. and 20129 85 Ave. in the Township of Langley. The project is a partnership between BC Housing and Tannin Developments Limited. When complete in late 2027, it will provide 371 homes for individuals, seniors and families with middle incomes in four six-storey buildings. Ninety-five of these homes will be adaptable for accessibility purposes, and a minimum of 40 will be rented at below market rates.
“With decades of underinvestment in housing and current high interest rates it has been incredibly challenging for the housing sector to meet the demands of homes needed by middle-class people in Langley and across B.C.,” said Andrew Mercier, MLA for Langley. “Through BC Builds, we are changing that. Thank you to all the involved home builders, municipalities, and non-profits, for helping to get these projects off the ground and make housing attainable for middle-income people in our communities.”
Developer partners have also been selected for three previously announced pre-zoned sites in the Township of Langley, including:
• 20230 72B Ave. – Caliber Communities, 110 units
• 27200 Block of Fraser Hwy. – Caliber Communities, 100 units
• 7883 199 St. – Edgar Development and Orion Construction, 160 units
Meanwhile, a rezoning proposal is also moving forward for approximately 430 units at 7135 Walker Ave. and 7244 Arcola St. in Burnaby, in a partnership between the BC Builds program and The Neighbourhood Church, formerly known as Southside Community Church. If approved by council, the planned 45-storey project would replace the Neighbourhood Church’s gathering space with a ministry hub program space, retail, and arts centre with a theatre for community concerts and performances.
by Andy Schwartze
The financial industry, including the Canadian property/casualty insurance industry, has a year-end of December 31 and a March 31st deadline for filing financial results. In a typical year, the Canadian Underwriter magazine publishes a detailed report on how the various carriers performed in the previous year shortly after that deadline. This year, however, the report came later that usual, likely due to the new procedural accounting rules implemented for the 2023 year. Though IFRS 17 was introduced to increase transparency, ensure consistent accounting and provide more updated and detailed information, many have complained that the new standard is, in fact, more confusing. Nevertheless, the results came in…and they are interesting.
The industry has done well since 2020. Returns on equity, the most reasonable measure of financial performance, have been high for the past three years. When adjusted for inflation, the ROE came in at 10.7 per cent for that period. This somewhat matches the percentages for the years 2005 through 2009.
It is important to remember that this is good news, because having a healthy insurance industry is just as important as having a healthy banking system. Those who keep an eye on history will remember that it was the banks that helped Canada weather the tough downturns of the past 50 years. A struggling insurance system would be a nightmare in times of trouble.
Interestingly, 2023 turned out to be one of the costliest catastrophe-loss years in history due to several climate-related disasters, including wildfires in the western provinces. In 2023, catastrophes came in at a whopping $3.1 billion. Given that every retail insurer uses reinsurance in some way to increase capacity and ensure they can offer higher levels of insurance coverage,
According to Natural Resources Canada, the 2023 wildfire season was the most destructive ever recorded with more than 6,000 wildfires devouring 15 million hectares of land. For perspective, that’s an area larger than England and more than double the 1989 record. On a typical year, Canada would see about 2.5 million hectares of land consumed. The fires were also more widespread, erupting from the West Coast to the Atlantic provinces, and up into the North. By mid-July, there were 29 mega-fires, each exceeding 100,000 hectares.
break remains an unknown in that weather related events are simply unpredictable.
It is also worth noting that while the industry produced good results, the ongoing headache in the auto insurance sector continues to stress those results, which are being offset by commercial sector premiums. This year, interest rates will contribute some additional income to insurer results; however, more and more insurance buyers are paying monthly and that reduces the available pool of cash which can be invested in the money markets.
2023 was a good year for property/ casualty insurers and that bodes well for rate stability and few premium surprises for insurance buyers. The cost of insurance will always rise, to some extent, as premiums must keep up with the always rising labour and material costs on the claims side. Insurance costs, inevitably, continue to track what is happening in our world and react retroac tively. But, for now, it appears there is nothing scary on the horizon.
large catastrophes affect us all. Reinsurance carriers have a worldwide footprint; they provide “big blocks” of insurance coverage that can deal with the large disasters we are seeing more and more of, resulting in increased claims.
What we have now is an insurance market that is stable at the retail end, but still very demanding in the reinsurance sector. Often now, we are finding that the retail insurer, with whom we are dealing directly, is itself regularly negotiating reinsurance protection on individual accounts needing high coverage amounts or unusual special coverage. While the insurers that you and I deal with are financially in good shape, retail insurance rates remain reliably steady, affected only by reinsurance rate increases that are still in play. The impact on overall premium is generally muted because that cost occupies only a small portion of a retail premium. Whether or not reinsurers will get a
TODAY’S APARTMENT RESIDENTS need access to high-speed internet services to work, attend class, stream video and games. At the same time, properties need connectivity solutions that help them better manage operations, bring down costs, and reduce risk in an age of skyrocketing insurance costs. According to a new white paper by US-based Parks Associates, the demand for WiFi and smart living at multifamily communities, and the ways in which property owners and managers are improving operations using transformative technologies, are steadily increasing—and bringing incredible value.
Key findings:
• Older properties are often in the most urgent need of upgrading. Parks Associates’ research found that 82% of U.S. rental properties over ten years old have difficulty maintaining device connections on their WiFi networks compared with just 13% of newer properties.
• During the COVID-19 pandemic, properties faced many pressures, including the need to support more remote and virtual interactions. Now, over a third of apartment renters work remotely at least one day per week making reliable connectivity a critical amenity. In addition, 88% of residents subscribe to a streaming video service, creating more demand on the network.
• Smart thermostats and smart appliances appeal to both residents and to properties, serving as an amenity and as cost-cutting tools that help save energy.
• By using connected devices and management platforms, maintenance requests can be prioritized and scheduled more efficiently, optimizing maintenance staff’s time to quickly address any urgent issues.
• Properties are seeing the benefits in deploying risk mitigation solutions to reduce the damages caused by catastrophic events such as leaks and floods. These solutions have a strong ROI; they often result in reductions in insurance rate increases by preventing small leaks from becoming larger incidents.
For the full white paper on the power of reliable connectivity, visit www.parksassociates.com
Since MetCap Living established itself as a leader in property management, we have routinely been asked one, simple question; “Can you help us run our property more e ectively?” And, for well over thirty years, the answer has remained — Yes, we can! Our managers are seasoned professionals, experienced in every detail of the day to day operations and maintenance of multi-unit rental properties. From marketing, leasing, nance and accounting, to actual physical, on-site management, we oversee everything.
We concentrate on revenue growth, controlling expenses, and strategic capital investment in your property to maximize your pro tability over the long term — when you’re ready to discuss a better option; we’ll be there. You can count on it.
Kazi Shahnewaz Director, Business Development
O ce: 416.340.1600 x504
C. 647.887.5676
k.m.shahnewaz@metcap.com
www.metcap.com
