Property management capitalizing on Vancouver and Toronto rentals
Property management capitalizing on Vancouver and Toronto rentals: Rental property segment of Canada has grown to an extent that companies are looking to cash into a phenomenon and Cadillac Fairview Corp., a private property management firm is the latest firm to throw its hat into ring.
“Nowadays in certain real estate markets, you can get rents to justify property developments and it’s frank that why they’re thinking about it,” John Sullivan, CEO and Cadillac Fairview president told Bloomberg.
Sullivan noted that few years ago, sales volume was not sufficient to make rental ventures. This company is looking forward at apartment projects in Vancouver and Toronto to an augment income from its already developed condos.
Sullivan also explained that it’s partly because people are not able to afford to buy any of the condos that rental is becoming an option. Sullivan also said that they still are thinking that there’s a huge demand for both.
Among planned additions there are number of buildings in Richmond Centre project of Cadillac Fairview in Vancouver. Upon its completion, estimate cost of this project is more than $500 million that covers around 27 acres and incorporating both condos and apartments.
“There’s a huge demand,” Sullivan said, adding that there’s a further expansions to Asia and Europe and these are being considered.
Executive stated that they are considering different asset classes.