CBRE: Commercial investment activity breaks records in Q2

  9/15/2021 |   SHARE
Posted in Commercial Real Estate by Russell Pearsall | Back to Main Blog Page

Commercial Building High Rise

Amid steady pandemic recovery, investment volume and counts post massive quarterly and annual increases

Canada saw a record-breaking $14 billion in commercial property investment during the second quarter, marking a 29.3% increase over Q1 and a massive 149.2% upswing from Q2 2020, according to the latest market statistics from CBRE.

Transactions under $20 million accounted for the bulk of this volume, totalling $7.9 billion in Q2 (up by 17.9% quarterly and 106.4% annually). Transactions valued at more than $20 million amounted to $6.1 billion, posting more significant increases of 47.5% quarterly and 239.9% year over year.

A total of 2,550 transactions took place during the second quarter, increasing by 15.2% from Q1 and 79.3% from Q2 2020.

“Investment activity has built over the first half of 2021 due to significant capital backlogs, a growing pipeline of property listings, and an improving COVID outlook,” CBRE said.

“Investors continued to target the sectors with the strongest underlying fundamentals and long-term outlooks in the second quarter,” CBRE said.

The segments with the largest Q2 totals were the industrial ($4.1 billion), multi-family ($3.7 billion), and ICI land ($2.9 billion) sectors.

“Each of these asset classes outperformed their three-year trailing quarterly averages and saw quarter-over-quarter increases in investment volumes,” CBRE said.

The retail sector, which is seeing resurgent interest from investors as lockdowns ease, saw a robust $2 billion in volume during the quarter. Offices ($1.1 billion) and hotels ($200 million) continue to languish with the lowest overall investment levels, CBRE said.

Source: Canadian Mortgage Professional



Canadian Commercial Real Estate Markets, Commercial Real Estate, Commercial Real Estate Investments, GTA Commercial Real Estate, Toronto Commercial Real Estate



Ask Russell Pearsall

Thinking of buying or selling a property, or have a question regarding the real estate market? Fill out the form below and I'll get back to you promptly.

Security Question: 5 + 2 =