Canadian Commercial Real Estate Sales Volumes Hit $16.2B in Q2

Despite pressure on the Canadian economy, the number of transactions increased by 4.8% quarter-over-quarter to 2,146 deals

Canadian commercial real estate investment volumes grew to $16.2 billion in the second quarter of 2026, lifted by higher transaction counts and mergers and acquisition activity. This is the highest quarterly investment volume total seen since early 2022 and represented a 29.6% quarter-over-quarter increase and a 51.6% year-over-year gain, according to CBRE’s Q2 2026 Canada Investment Overview.

In addition to stronger single-asset and portfolio investment activity, second quarter volumes were further buoyed by the completion of Welltower’s acquisition of Amica Senior Lifestyles. The number of transactions also increased by 4.8% quarter-over-quarter to 2,146 deals in Q2 2026, marking the second highest quarterly deal count of the last two years.

“Despite some of the negative headlines, the momentum is real and investors believe in Canada,” says CBRE Canadian Capital Markets President Peter Senst. “Q2 2026 was a defining quarter for Canadian commercial real estate investment with strong transaction activity in many cities and across asset classes. We are on a trajectory that could make 2026 a record year for Canadian commercial real estate investment. Global investors are increasingly viewing Canada as a market of safety and stability, and the capital flows back that up.”

Multifamily Sees Most Action

Multifamily remained the most active investment asset class in the second quarter, with volumes totaling $6.5 billion. Welltower’s Amica acquisition accounted for nearly half of the quarter’s volumes. Industrial continued to attract significant capital investment with $4.2 billion in volumes in Q2, well surpassing the trailing three-year quarterly average pace. The largest single-asset transaction of the quarter was Pontegadea’s $326.0-million purchase of an Amazon fulfilment centre in Cambridge, ON.

Among other asset classes, retail activity grew to $2.1 billion, Industrial, Commercial and Institutional (ICI) land rose to $1.8 billion, and office volumes moderated slightly to $1.5 billion in Q2 2026. Investment for all three asset classes also came in above the respective three-year trailing quarterly averages.

Foreign investors accounted for the highest level of quarterly investment activity since Q1 2023, making up 43.9% of acquisitions, largely driven by Welltower’s Amica acquisition. Private Canadian investors were the second largest purchaser group in the second quarter, accounting for slightly over one-third of acquisitions.

REIT/REOCs and institutional groups were also active in Q2, representing 8.5% and 8.0% of activity, respectively. Private equity (2.9%) and pension fund/advisors (2.4%) rounded out the purchasing activity.

Strong Cross-Border Investment

Cross-border investment into Canadian commercial real estate totaled $4.3 billion in Q2, largely the result of Welltower’s Amica acquisition. This brought total foreign investment volumes for the first half of 2026 to $5.1 billion and already surpasses the full-year totals of the prior two years.

Capital inflows in Q2 were led by the Americas region, with the vast majority stemming from Welltower’s M&A transaction. Europe, Middle East and Africa (EMEA) investors accounted for $613.0 million of cross-border inflows in Q2, lifted by major industrial purchases by Spain-based Pontegadea.

Overall investment activity was broadly positive in the second quarter, with six out of nine tracked Canadian markets recording year-over-year growth in volumes. Stronger momentum was seen across nearly all markets in Q2, with volumes exceeding their three-year trailing quarterly averages except in Edmonton and Halifax.

Toronto investment volumes dwarfed all other markets and single-handedly accounted for 44.0% of the national total in the second quarter, supported by strong multifamily and industrial transaction activity. Notable growth in year-over-year investment volumes in Q2 was also seen in London, ON (+237.1%), Waterloo Region (+118.5%) and Ottawa (+89.2%).

“In a world where geopolitics, trade uncertainty and volatile bond markets are testing investor confidence,” says Senst, “Canadian commercial real estate is being perceived as a destination that will weather cycles and provide long-term, stable returns over the coming years.”