I recently attended the Atlantic Real Estate Forum in Halifax, where I connected with real estate professionals from across Canada. The conversations reflected a familiar theme—one most of the country is familiar with—markets are working through challenges while finding new areas of opportunity amid ongoing uncertainty. There is much to unpack from this forum, here are my 7 key takeaways!
1
There is a rising interest in the diversification of portfolios. Lenders and investors who have favoured multifamily in recent years are actively seeking portfolio diversification.
2
Single-tenant and multi-tenant industrial properties remain preferred assets, linked to e-commerce, logistics networks, and onshoring. Tenant demand is expected to catch up to new supply, amid projected development slowdowns in response to stabilizing vacancy rates.
3
Food-anchored retail continues to be a sought-after asset class, with sustained investor competition, driving cap rate compression. The sector’s resilience, driven by essential consumer spending, offers a defensive investment profile with stable cash flow, making existing properties highly valuable and contributing to an inventory shortage.
4
Despite broader office market challenges, high-quality, amenity-rich, prime-location (Class AA) office properties are seeing increased investor interest in markets like Halifax, primarily driven by tenant demand for spaces that support return-to-office mandates.
5
Recent CMHC changes have led to a more cautious lending environment, with borrowers requiring stronger profiles and greater liquidity as lender and CMHC underwriting practices tighten in response. As a result, we are seeing a renewed interest in conventional lending options.
6
While multifamily investment remains resilient, rising vacancy rates are putting greater emphasis on rental community design and amenities. Properties in prime locations with balconies, ample parking, and gyms continue to see strong absorption.
7
Demand for existing multi-residential properties remains high, indexed by an increase in off-market transactions in specific market segments, with opportunistic investors eyeing lower per-door prices. This increase in off-market activity suggests strong demand in areas with low inventory.
Reflecting on the 2024 forum, the primary focus was on multifamily assets. This year, lenders and investors appear to be more interested in diversification. With 2026 on the horizon, Atlantic Canada is uncovering new growth opportunities across various real estate sectors and smaller markets, with Peakhill Capital well-positioned to support investors.
Peakhill’s Experience in Atlantic Canada
Since its inception, Peakhill Capital has been an active lender in Atlantic markets, financing $1 billion in deal transactions across New Brunswick, Newfoundland, Nova Scotia, and Prince Edward Island. We continue to look to Atlantic Canada as a favourable region for lending across multiple asset classes.
Municipal Incentives Guide: Atlantic Canada 2025 Edition
Peakhill Capital is a leading commercial real estate asset manager with credit and equity platforms across North America. As a CMHC-approved lender, Peakhill is active across all real estate asset classes, such as multi-family, industrial, retail, and construction, ensuring tailored solutions for each client.
Recognizing the dynamic needs of developers in Atlantic Canada, Peakhill has curated this resource, detailing the housing development incentives available across key municipalities. This guide serves as a practical tool to navigate and leverage local affordable housing opportunities, foster informed decision-making, and drive growth in major markets nationwide.
