In 2008, some $164 million in investment-grade rental apartments were conducted, according to Avison Young.
â€œInstitutional vendors are taking advantage of strong pricing and robust demand for quality multi-family buildings, which allowed them to realize profits and redeploy capital in markets with higher yields,â€ said Avison Young Principal Rob Greer.
He noted private investors have dominated the buying and selling in Vancouver, however. Offshore buyers have been competing with private buyers in the multi-family market in Vancouver.
â€œA lack of supply of high-quality product continues to restrain potential deal velocity, while those trophy assets that do come on the market generate significant interest,â€ said Greer.
He expects capitalization rates in metro Vancouver to remain near historic lows as in 2010, near 4%.
Are you looking to invest in property? If you like, we can get one of our mortgage experts to tell you exactly how much you can afford to borrow, which is the best mortgage for you or how much they could save you right now if you have an existing mortgage. Click here to get help choosing the best mortgage rate
The report tracked multi-family investments in Vancouver greater than $5 million. While the 2010 total was well below the $481 million reported in the previous, much of that 2009 total was due to a single $274 million Wosk portfolio purchase.