Beyond Headwinds: Unpacking Canadian Real Estate Opportunities at PCMA 2025

The recently hosted PCMA 2025 Annual Conference – Canada’s premier event for private investment leaders – served as a critical forum for dissecting 2025’s complex real estate landscape.

As a conference sponsor and featured panelist, our firm was proud to have helped lead critical conversations, offering insights into the evolving forces shaping private capital and real estate investment in Canada. Our very own John Huffman, Senior Vice President of Asset Management, joined the expert panel “The State of Canadian Real Estate: Opportunities Amidst Challenges”, moderated by Ben Myers of Bullpen Consulting. John shared timely insights on navigating today’s market volatility while strategically positioning for long-term growth. Panelists tackled several pressing themes shaping today’s real estate investment landscape, including:

Pre-Construction Market Outlook

While activity in the pre-construction condo market remains subdued, panelists agreed that a recovery is not a matter of if, but when. In the interim, developers are rethinking project design to meet the evolving needs of new buyer cohorts. This includes more efficient unit layouts and pricing strategies that reflect affordability, among others. For investors, this is a critical moment to assess whether projects are being thoughtfully structured to weather current conditions and capitalize on the recovery ahead — from how units are designed and priced, to whether the asset mix reflects long-term demand trends such as rental resilience and urban affordability.

The Shift to Purpose-Built Rentals

A major theme was the growing pivot strategic focus toward developing purpose-built rentals to capitalize on the rising demand for rental housing across Canada. The economics of homeownership have become increasingly difficult for many Canadians, with homeownership now consuming over 55% of a typical household’s income, pushing demand toward rental. Similarly, institutional capital is showing increased growing interest in rental assets as demand continues to strengthen. The panel addressed the practical realities of converting condo-intended sites to rental housing, highlighting both zoning and financing considerations. As an active asset manager, Greybrook, has been active in evaluating when and where such conversions may make long-term strategic sense.

Panelists share insights during “The State of Canadian Real Estate: Opportunities Amidst Challenges” at the 2025 PCMA Annual Conference.

Decoding the Impending Supply Crunch

As construction slows, a sharp drop in high-rise condominium completions is expected over the next few years — transitioning from multi-decade highs to lows in a short period. Meanwhile, population growth continues to outpace supply. The result: a widening imbalance that will drive rents and prices higher, particularly in urban centres. Developers and landowners who take a longer view — securing approvals and progressing sites through entitlements today — will be well-positioned to deliver product into a stronger, tighter market.

Finding Opportunity in Today’s Market Conditions

With prices softening in some submarkets and land values adjusting, there is a growing opportunity to invest ahead of the next cycle. The panel cited submarkets such as Yonge and Eglinton (where Greybrook recently successfully closed on an acquisition), where underlying fundamentals remain strong, and acquisition costs have become more attractive. Greybrook and other long-term investors are focusing on medium- and long-duration development sites, where there is time to create value through planning and design before bringing products to market under improved conditions.

The PCMA panel served as a reminder that market slowdowns are not only periods of stagnation and relative risk — they also represent opportunities for recalibration. For developers and capital partners with a long-term perspective, this is a time to think strategically, act selectively, and prepare for what’s next.

Whether actively evaluating product types, acquiring assets in high-value markets, or pursuing long-duration land plays, industry leaders that move decisively today are positioning themselves to lead as momentum returns to the market.