STOREYS' Trend Of The Year: The Pivot To Purpose-Built Rentals

Purpose-built rentals have emerged as a defining real estate trend in Canada, with developers shifting away from the struggling condo market. Rising population growth, declining affordability, and strong rental demand are fueling this transition, supported by government incentives and financing programs. While rentals offer long-term stability and improved tenant experiences, high development costs and interest rates continue to challenge new project starts. As the market evolves, purpose-built rentals are expected to play a key role in addressing Canada’s housing supply gap.