At last week’s Toronto Real Estate Forum, QuadReal’s Anthony Lanni, Executive Vice President of Residential, joined a panel of industry leaders to discuss the multi-residential housing market in Canada.
The discussion centered on a shared reality: demand for rental housing remains strong, yet the conditions required to deliver new supply continue to lag. Anthony shared QuadReal’s perspective on where the industry stands today—and what comes next.
How are government programs and policies impacting the market?
We have a lot of work to do to support middle-income Canadians with attainable housing. Development timelines are still far too long—often five to ten years from concept to occupancy. On top of that, government fees and charges make up roughly 31% of the cost of a new home, which ultimately pushes rents higher. Governments have a real opportunity right now to accelerate approvals and reduce financial barriers to housing development so that the industry can build the homes Canadians need.
How is the shortage of skilled labour affecting the delivery of new housing?
Trade professionals across the country will tell you there is a real constraint of availability of skilled labour. The pipeline for new workers entering the trades is thin, and this shortage is felt in every major Canadian market, making it much harder to deliver new housing at the pace required.
What is driving the slowdown in capital deployment, and when might we see that shift?
There’s plenty of capital available, but deals are tough to pencil today. Many lenders have stepped back from construction financing given so many projects are not financially viable so money is sitting on the sidelines waiting for the right opportunities. Looking ahead to 2026, we expect to see equity aligning with committed financial sponsors on well-underwritten projects. Unlocking that opportunity requires both financial sponsors and equity investors to re-engage so that we’re ready for the strong demand expected in 2028 and 2029.
What’s the outlook for the multi-residential market in 2026-2027?
I tend to rely on cliches at times like these: it’s a marathon, not a sprint. Right now, it feels like we’re at mile 16—the point where the work is hard and the market is fatigued, but the finish line is still out there, and we’ve trained to reach it. These are challenging conditions, but the industry is resilient. Canada has strong operators, developers, and builders who continue to deliver essential housing for Canadians, and I’m optimistic that momentum will keep going into 2026.
Why This Matters
Canada’s rental housing demand remains strong, but unlocking supply requires collaboration across government, industry, and capital markets. QuadReal is committed to delivering housing and driving solutions that support affordability and long-term growth.
See how we deliver essential housing for Canadians: learn more about QuadReal’s residential portfolio and development program.
