On the tailwinds of consecutive record setting years, the 2020 multifamily market was poised to have another benchmark year. Durable market fundamentals supported a robust appetite amongst institutional investors and liquidity remained strong across the GTA. However, the unprecedented COVID-19 pandemic has had a significant impact on monetary policies, fiscal policies, business operations, asset management, and everyday life. During this temporary period of uncertainty, the importance of real estate assets will understandably come second to health and safety. In this report, we take an informed approach to analyze the current state of the multifamily market.
- April rent collection exceeded expectations – high 90% range by end of month
- Comparisons to last economic downturn indicate a stable multifamily market in times of uncertainty
- Second most active Q1 in last decade, surpassing $500M+ in sales
- Average price per suite maintains 2019 YE averages at $277,596, +17% from Q1 2019
- 64,747 purpose-built rental suites proposed over 178 projects, + 47% from Q1 2019
- Decrease in construction starts could ease construction costs