By Sammy Hudes
A report launched Wednesday by Urbanation mentioned 2025 marked the fourth straight yr of fewer new apartment gross sales within the area, falling 60% from the earlier yr to a complete of 1,599 models. New apartment gross sales in 2025 had been additionally 91% under the 10-year common and have dropped 95% since 2021.
In the meantime, a complete of seven,243 models in new apartment initiatives had been scrapped, greater than doubling each the variety of models cancelled the earlier yr and the earlier document set in 2018.
“Because the apartment market enters the fifth yr of its largest ever correction, the length of this downturn ought to be a major trigger for concern because it pertains to future provide,” mentioned Urbanation president Shaun Hildebrand in a information launch.
“By the top of the last decade, we all know with certainty that there received’t be any new apartment completions. What we don’t know is how far into the 2030s the provision crunch will final. If rental building can’t fill the void, this raises critical questions across the influence on affordability.”
The report mentioned eight cancelled apartment initiatives totalling 2,189 models had been transformed to purpose-built leases in 2025, on prime of 1,434 cancelled apartment models that had been switched to leases in 2024.
However these conversions — together with a 24% acquire from 2024 in purpose-built rental begins — weren’t sufficient to offset a decline in apartment begins throughout the area.
The report mentioned apartment building begins sank 63% year-over-year in 2025 to three,272 models, a multi-decade low, and builders launched solely 10 new apartment initiatives all through final yr.
The 1,425 models launched final yr had been 22% offered, down from a 24% gross sales fee for brand new launches within the earlier yr and a excessive of 81% for brand new launches in 2021.
Condominium begins have decreased 88% over the previous three years, bringing the entire stock underneath building to a 10-year low.
Common promoting costs inside new launches fell to a five-year low of $1,123 per sq. foot, which was down eight per cent from 2024.
The report mentioned resale apartment models accomplished prior to now three years averaged promoting costs of $856 per sq. foot within the fourth quarter of 2025.
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apartment market apartment gross sales actual property sammy hudes Shaun Hildebrand The Canadian Press Urbanation
Final modified: January 21, 2026
