CRE This Week: What's impacting the Canadian market
December 17, 2025 - Canada commercial real estate market insights, indicators, and notable transactions
December 17, 2025
Welcome to the latest edition of CRE This Week, curated by Altus Group’s Canada research team.
Our team has handpicked new and noteworthy market indicators, articles, and significant industry transactions that are impacting Canada's commercial real estate sector. We understand that your time is valuable, so we're excited to deliver research that helps you stay informed and saves you some time each Wednesday morning.
Holiday publishing notice
CRE This Week will take a short break during the weeks of December 22 and December 29. We’ll be back with our first edition of 2026 on January 7.
Thank you for reading and for being part of our community. Wishing you a happy holiday season and all the best in the year ahead.
FEATURED TrANSACTIONS
Canada property transactions
Greater Toronto Area: Retail
1400 Victoria Street East, Whitby
$27,200,000
$236 per sq. ft.
Brokers: Michael Law & Angela Domingo (Lennard Commercial)
Greater Vancouver Area: Office
9686 137th Street, #202, Surrey
$7,953,131
$1,197 per sq. ft.
Brokers: Jason Teahen, Rob Chasmar, Arun Heed (Colliers)
Greater Ottawa Area: Retail
390 Rideau Street, Ottawa
$1,400,000
$360 per sq. ft.
Greater Golden Horseshoe Area: Retail
Evergreen Plaza, Kitchener
$30,125,000
$377 per sq. ft.
Brokers: David Williams & Jake Arnoldi (Colliers)
Greater Toronto Area transactions
Sector | Municipality | Address | Price | Unit price | Parameter | Brokers |
|---|---|---|---|---|---|---|
Industrial | Burlington | 1121 Walkers Line | $60,500,000 | $210 | per sq. ft. | |
Apartment | York | 2559 - 2561 Bloor Street West | $14,350,000 | $235,246 | per unit | David Montressor & Tom Schuster (CBRE) |
Industrial | Mississauga | 2386 - 2398 Haines Road | $12,600,000 | $251 | per sq. ft. | Patrick Campbell (Avison Young) & Aman Matharu (Royal LePage Flower City Realty) |
Greater Vancouver Area transactions
Sector | Municipality | Address | Price | Unit price | Parameter | Brokers |
|---|---|---|---|---|---|---|
Industrial | Delta | 7351 Progress Place | $6,500,000 | $413 | per sq. ft. | Casey Bell (Jones Lang LaSalle) |
Retail | West Vancouver | 1474 - 1476 Marine Drive | $2,820,000 | $1,282 | per sq. ft. | Mario Negris (Marcus & Millichap) & Steve Chou (LeHomes Realty Premier) |
Industrial | Surrey | 18643 52nd Avenue, #107 & #108 | $2,800,000 | $521 | per sq. ft. |
Greater Ottawa Area transactions
Sector | Municipality | Address | Price | Unit price | Parameter | Brokers |
|---|---|---|---|---|---|---|
Apartment | Ottawa | 139 Henderson Avenue | $3,000,000 | $375,000 | per unit | |
Apartment | Ville de Gatineau | 160 O'Brien Street | $1,168,000 | $292,000 | per unit | Daniel Caya & Jacob Caya (Re/Max Vision), David Nagendran (Les Immeubles Charisma Inc.) |
Retail | Ottawa | 1049 Merivale Road | $1,000,000 | $322 | per sq. ft. | Mitch Gauzas (Royal LePage Integrity Realty) |
Greater Golden Horseshoe Area transactions
Sector | Municipality | Address | Price | Unit price | Parameter |
|---|---|---|---|---|---|
Industrial | Guelph | 935 & 945 Southgate Drive | $126,250,000 | $219 | per sq. ft. |
Industrial | Brantford | 300 Henry Street | $18,350,000 | $80 | per sq. ft. |
Apartment | Kitchener | 212 Belmont Avenue West | $3,300,000 | $235,714 | per unit |
ECONOMIC PRINT
Canada commercial real estate market indicators
Capital remains active, but uncertainty and pending deals weigh on totals for 2025
Several large 2025 transactions are still pending close. With Vancouver’s significant “The Post” office deal and other year-end closings expected in December, reported volume should get a late lift heading into 2026.
Figure 1: Transaction volume, all sectors, 2023 vs. 2024 vs. 2025 year-to-date
Build costs ease, even as union wages keep climbing
Construction costs are flattening and even falling in some Canadian markets, but union wage rates are still moving up. Nationally, union wages rose 2.3% over the past year, led by Montreal (+7.8%), while Toronto has been essentially flat after strong gains through 2022 to 2024. Over the past five years, union wages are up roughly 16% nationwide, with the biggest increases among HVAC mechanics and truck drivers and more modest gains for painters and electricians. In Ontario, most trades are locked into agreements until spring 2028, with contracts calling for roughly 6% to 8% total wage growth over the next three years.
Figure 2: Construction union wage trends, Canada and selected markets
INSIGHTS Spotlight
Catch the latest research and insights from Altus
Canadian commercial real estate market update – Q3 2025
Canada’s CRE market slowed in Q3 2025 as capital moved to value plays and resilient regions, revealing which sectors and cities are still holding their ground.
What regional data reveals about Canada's 2026 housing outlook
Altus Group analysis shared in recent consultations with the Bank of Canada points to an uneven adjustment in activity, feasibility and development models across Canada’s real estate markets.
About our research team
Ray Wong
Vice President, Data Solutions
Altus Group
Ray is the Vice President, Data Solutions, Client Delivery team with the Altus Group and has over 30 years of market research experience. He works closely with both internal and external clients to provide timely information and industry insights about the Canadian market and at a global scale. Ray is regularly asked to speak at various industry events and answer media outlet requests.
Peter Norman
Vice President and Economic Strategist
Altus Group
Peter Norman is a recognized leader in commercial real estate economics and strategic market insights. As vice president and economic strategist, Norman drives thought leadership initiatives, economic forecasting, and innovative solutions to industry challenges, reinforcing Altus Group’s position as a market leader. With 30 years of experience as a prominent economist, Norman combines a deep understanding of economic principles with a talent for communicating complex concepts clearly and persuasively.
Edward Jegg
Research Manager
Altus Group
Edward Jegg serves as a Research Manager on the Data Solutions team at Altus Group, leveraging over 35 years of extensive experience in the commercial real estate sector to deliver market intelligence to the industry. Jegg plays a key role in creating and disseminating detailed market reports across Canada, providing stakeholders with timely insights for investment decision-making. Jegg is a recognized expert, frequently offering media commentary on real estate trends and recently receiving the prestigious Chair's Award of Merit from BILD for his outstanding contribution to the field.
Jennifer Nhieu
Senior Research Analyst, Data Solutions
Altus Group
Jennifer Nhieu is a Senior Research Analyst, Data Solutions with Altus Group, where she specializes in providing timely, data-driven insights into the Canadian market. Leveraging her background in commercial real estate and geographic information science, Jennifer is a key contributor to Altus Group’s quarterly research insights. She transforms complex data sets into clear, actionable intelligence, helping stakeholders make informed decisions.
About the Data Solutions team
Behind every update in our newsletter is the work of our Data Solutions team, a group dedicated to keeping you informed on commercial real estate activity across Canada. From Vancouver to Toronto (and everywhere in between), they track transactions, visit properties, and add the local context that numbers alone can’t capture. Their work goes beyond deals, by providing insights into new home developments and sales trends, as well as detailed office and industrial inventory data across key markets, from Montreal and Calgary to Winnipeg, Quebec City, and Atlantic Canada.
Disclaimer: The opinions expressed in this newsletter are solely those of the authors and are not endorsed by Altus Group Limited, its affiliates and its related entities (collectively “Altus Group”). This publication has been prepared for general guidance on matters of interest only and does not constitute professional advice or services of Altus Group. You should not act upon the information contained in this publication without obtaining specific professional advice. No representation or warranty (express or implied) is given as to the accuracy, completeness or reliability of the information contained in this publication, or the suitability of the information for a particular purpose. To the extent permitted by law, Altus Group does not accept or assume any liability, responsibility or duty of care for any consequences of you or anyone else acting, or refraining to act, in reliance on the information contained in this publication or for any decision based on it. The distribution of this publication to you does not create, extend or revive a client relationship between Altus Group and you or any other person or entity. This publication, or any part thereof, may not be reproduced or distributed in any form for any purpose without the express written consent of Altus Group.
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