Morguard - 2016 Real Estate Investment Trends to Watch in Canada

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[{"type":"text","content":"\n\n\n\nMorguard - 2016 Real Estate Investment Trends to Watch in Canada\n\n/* Style Definitions */\nspan.prnews_span\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\na.prnews_a\n{\ncolor:blue;\n}\nli.prnews_li\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\np.prnews_p\n{\nfont-size:0.62em;\nfont-family:\"Arial\";\ncolor:black;\nmargin:0in;\n}\n\n\n\n\n\n\nMorguard - 2016 Real Estate Investment Trends to Watch in Canada\nCanada NewsWire\nMISSISSAUGA, ON, Jan. 18, 2016\n\n\n\nMISSISSAUGA, ON, Jan. 18, 2016 /CNW/ - Morguard is predicting a fifth consecutive year of positive results for Canada's commercial property sector in 2016. Investors will continue to achieve attractive portfolio returns, finishing the year close to or slightly below 2015.  Solid performance is forecast based on generally positive rental market leasing characteristics in the Canadian property sector, against a backdrop of elevated global economic risk. \n\n\"The generally positive 2016 Canadian commercial real estate sector includes a measure of risk,\" said Keith Reading, Director of Research at Morguard. \"Investors will exercise caution in acquiring riskier assets over the near term, given an environment of sluggish global economic growth and uncertainty, a low Canadian dollar, and a persistent oil slump.\"\n\nAs predicted, the ongoing oil sector malaise continues to dampen economic performance, resulting in a mixed growth trend. In the first six months of 2015, a short-lived recession unfolded. However, early predications showed Canada's economic growth trend improved in the third quarter of 2015, with annualized growth of 2.1% forecast for 2016 by the Conference Board of Canada (CBOC). Regionally, expansion rates varied widely, with Alberta falling into recession and Vancouver and Toronto posting healthy gains. \n\nCanadian income producing commercial property transaction volume is expected to trend close to the long-term average annual total of $21.1 billion CDN in 2016, slightly below the 2015 total.  Access to low-cost debt and equity capital will continue to attract investment in a sector with stable yields and income. The highest quality and lowest risk properties will be highly sought after by a range of investor types including: private capital, pension funds, institutions, and publicly-traded entities. This will...

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