Commercial Real Estate Investors Are More Active, but Pickier
Share
Commercial real estate capital is moving again, but the tone is measured. Real Estate Magazine reported that RE/MAX Canada's 2026 Commercial Real Estate Report found investors becoming more active after a volatile period, while still focusing heavily on income stability and long-term value.
The report points to a first-quarter pickup in office leasing across 12 major Canadian markets, helped by return-to-office mandates and stronger demand for premium space. Damon Conrad, vice-president of RE/MAX Canada Commercial, described capital as cautious and preservation-focused, but increasingly ready to act when the income profile is clear.
Question
Why does renewed commercial activity not mean every property type is recovering at the same speed? Tenant demand is splitting the market. Well-located, amenity-rich Class A office buildings are drawing more interest, while older assets still face leasing pressure in both urban and suburban locations.
Editor's Comment
This report lines up with what we’re seeing locally: capital is returning, but only for assets where the income story is easy to underwrite. In Greater Vancouver, “office recovery” is really a flight-to-quality—well-located, amenity-rich Class A can lease, while older product often needs meaningful capex and sharper pricing to compete, especially with rollover risk. Industrial remains attractive, but the takeaway isn’t just scarcity. With new supply still being absorbed, buyers should get granular on tenant credit, functional specs (loading, clear height, power), and labour/access—those factors will separate durable rent from headline rates. On the retail side, necessity and service-based neighbourhood centres tend to hold up better than discretionary formats, which supports a more defensive, cashflow-first approach for investors.