Canada in top 5 for real estate investors

By Staff | August 29, 2013 | Last updated on August 29, 2013
2 min read

Eighty-five percent of real estate industry executives say the global economy is improving or stable, and Canada is poised to benefit from that optimistic outlook, according to EY’s Global Capital Confidence Barometer for Real Estate, Hospitality and Construction.

Read: Homes less affordable, but Canadians keep buying: RBC

Emerging markets, including India, China, Qatar and Chile, led the pack of countries poised for real estate investment in the next 12 months, with Canada following closely in fifth. “Confidence is returning to the sector as credit availability and strong industry fundamentals create a more stable foundation for deal-making,” says Krista Blaikie, EY’s National Real Estate leader.

“Companies that were focused on maintaining stability and operational efficiency are now shifting gears and looking ahead at new investment opportunities.”

Read: Fewer Americans applying for mortgages, refinancing

Overall, respondents’ optimism is up considerably from 53% one year ago.

“Investors are looking beyond the developed world — with the exception of Canada — and focusing their investment strategies in emerging markets with immense growth potential,” says Blaikie. “Canada, on the other hand, continues to attract the attention of investors searching for a stable political and economic environment not found in the Eurozone.”

Those ready to transact in the year ahead are focused on smaller deals, with 64% of companies expecting the majority of deals to fall between US$51m and US$500m.

“Making the most of transaction opportunities, whether small or large, depends on a thorough understanding of the local market, regulatory environment and culture. Those that perform thorough due diligence and select the right partners will be best positioned for sustainable growth,” says Blaikie.

Read: 3 ways to help clients pick private REITs staff


The staff of have been covering news for financial advisors since 1998.