Introduction: A Province Full of Potential
If you’ve been watching Alberta’s real estate market lately, you’ve probably noticed a trend investors are torn between newly built rental projects and existing apartment buildings.
In markets like Calgary, Edmonton, and nearby towns like Strathmore, Airdrie, and Cochrane, both options offer strong potential but they come with different benefits, risks, and financing opportunities.
So, what’s better for you? Let’s break it down.
1. Investing in New Build Multi-Family Properties
New build investments are shining in communities like Killarney, Renfrew, and Mount Pleasant, where developers are introducing 4-plexes, townhome rentals, and boutique apartments designed for modern renters.
Advantages of New Builds:
- Lower Maintenance Costs: Everything is brand new, from the HVAC system to appliances.
- Energy Efficiency: Qualify for CMHC MLI Select incentives that reward sustainability and accessibility.
- Tenant Appeal: Tenants love modern finishes, open layouts, and amenities allowing higher rents.
- Higher Financing Potential: CMHC often offers up to 95% LTV for energy-efficient and accessible new buildings.
Example:
A newly built 6-plex in Killarney or Renfrew could secure premium tenants paying above-average rents while benefiting from lower operating costs for years.
2. Buying Existing Multi-Family Properties: The Value-Add Play
Older properties, particularly in Airdrie, Okotoks, or Chestermere, offer something different in value-add potential.
Benefits of Existing Buildings:
- Lower Entry Cost: Price per unit is often 15–30% less than a new build.
- Immediate Cash Flow: Units are already rented, so income starts right away.
- Renovation Opportunities: Modernizing kitchens, flooring, and bathrooms can increase rents and force appreciation.
Example:
A 24-unit older apartment in Okotoks might be purchased below market value, renovated, and refinanced under CMHC MLI Select after meeting sustainability or accessibility upgrades.
3. Balancing the Decision
The choice depends on your investment goals:
- Short-term cash flow? Go for existing properties with value-add upside.
- Long-term growth? Consider new builds with CMHC incentives and stable rental income.
Investors who blend both a portfolio mix of renovated older assets and newly built energy-efficient properties often see the most balanced, resilient returns.
4. The Green Casa Advantage
At Green Casa Property Management, we guide investors through every phase from acquisition and analysis to management and optimization.
Our expertise across Calgary’s inner-city gems like Mount Pleasant and Killarney, and expanding markets like Cochrane, Airdrie, and Okotoks, ensures every property in your portfolio performs at its highest potential.
Conclusion: Alberta’s Dual-Path Investment Opportunity
Whether you choose the modern efficiency of new builds or the instant equity of existing properties, Alberta’s market gives you room to grow.
The secret isn’t choosing one over the other; it’s managing both strategically.
And that’s what Green Casa Property Management does best.
