Toronto City Core REIT

Toronto City Core REIT offers investors access to institutional-quality residential real estate in Canada’s most supply-constrained urban market at a point in the cycle that has not been seen in decades. Following years of aggressive condominium development, higher interest rates and weakened pre-sales have left developers holding unsold inventory, creating a temporary disconnect between asset pricing and long-term fundamentals.

TCC is purpose-built to act during this window. The REIT focuses on acquiring blocks of condominium units in downtown and midtown Toronto at prices materially below replacement cost, leasing them to generate income during the hold period, and maintaining flexibility for a long-term exit as supply tightens and pricing realigns.

This approach allows investors to participate in a recovery-driven real estate strategy while avoiding the challenges of direct ownership, development risk, or short-term speculation. The fund is structured with a capital-first framework, conservative leverage, and an anticipated investment horizon of approximately five years.

• Once-in-a-Cycle Market Entry Toronto’s condominium market is experiencing a temporary oversupply driven by macroeconomic conditions rather than a breakdown in long-term demand. This has created acquisition opportunities at pricing levels not seen in years.
• Discounted Entry with Embedded Upside The REIT targets acquisitions at approximately 20 percent below replacement cost and up to 45 percent below prior investor pre-sale pricing, providing built-in downside protection and potential upside as pricing normalizes.
• Exposure Without Direct Ownership Investors gain access to professionally managed, income-generating residential assets in Toronto’s core without the complexity of purchasing, financing, and operating individual properties.
• Income During the Hold Period Units are rental-ready at acquisition and professionally leased to generate income intended to offset carrying costs and support distributions, subject to available cash.
• Structural Supply Constraints Ahead New condominium construction in Toronto has declined sharply, while population growth continues. As existing inventory is absorbed, the city is expected to enter a multi-year period of housing undersupply.
• Institutional-Scale Access TCC sources off-market, bulk transactions directly from developers. This pricing and deal flow is typically unavailable to individual investors.

Toronto City Core REIT intends to acquire a diversified portfolio of approximately 160 newly completed or near-complete condominium units located in downtown and midtown Toronto. Assets are selected based on location quality, rental demand, and long-term appreciation potential. These condos will be spread across several buildings providing further diversification and risk mitigation.

Following acquisition, units are leased and professionally managed to generate income during the hold period. The REIT’s strategy emphasizes disciplined underwriting, conservative leverage, and operational efficiency, with the objective of preserving capital while maintaining exposure to long-term market recovery.