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TSE:CAR.UN

Canadian Apartment Properties (CAR.UN.TO)

35.78
+0.48 (1.36%)
as of Jun 12, 2026, 8:00:00 pm Market Open.
491 watching
0
Investor Insights
star iconJun 12, 2026, 12:00 am

This summary was created by AI, based on 13 opinions in the last 12 months.

Canadian Apartment Properties (CAR.UN-T) is currently facing challenges primarily due to reduced immigration levels affecting the rental market and an oversupply of condos leading to falling rents. Experts note that while the situation is tough now, there are expectations of future recovery in the sector as immigration policies may improve over time. Many analysts see the stock as a potential yield play, especially considering its attractive price-to-earnings ratio and dividend yield, which hovers around 4%. However, concerns about volatile interest rates and potential government interventions in rent controls have also made some experts cautious. Overall, there's a sense that patience is required as the cyclical nature of the real estate market suggests a turnaround in a few years.

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Consensus
Cautious
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Valuation
Undervalued
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Brookfield, BPY.UN
DON'T BUY
Focused exclusively in the greater Toronto area. Vacancy rates, rent controls and condominium competition have created problems. Prefers Boardwalk (BEI.UN-T), which has 50% of their apartments in Alberta.
BUY
(Market Call Minute.) One of the most defensive names in the residential sector. The metrics in the Toronto market are starting to improve.
COMMENT
A lot of their portfolios are in the greater Toronto area and are still dealing with vacancy rates that are too high so they can’t increase rental rates.
BUY
Biggest exposure is to Montreal and Toronto. Starting to see a little bit of rental increase. Still spending $20 million to $40 million a year repositioning properties from a company they acquired a long time ago. In the long-term, this may be one you want to own because they assets are enduring and the locations are core.
WEAK BUY
One of the bigger apartment complexes in REITs. Basically in Toronto with some holdings in Montreal. Very hard for Ontario apartments to keep their spreads. This one has held up its yield. Long-term, it's a good place to be. Concerned about Ontario economy.
COMMENT
Multi-residential. Focused on high-rise properties. Primarily Toronto and Montreal. Ontario rent controls is a problem. Acquisition requires expensive upgrading to their standards. 1st class management team. Fundamentals in TO and Montreal are improving.
TOP PICK
The apartment market in Toronto has been extremely soft. The major concern was whether they could keep their margins. Feels the apartment market is improving.
WATCH
125% payout and has surprised him how well it has done. Lots of problems. Very likely at some point, it will break a bit, and when it does will be an interesting Buy. The whole “apartment concept” is a good one long-term.
DON'T BUY
Has a “Market Perform” on it. Have had to deal with a strong housing market that pulled people to home ownership. Has hurt occupancy rates. Year to date performance was better than she expected, however, she is expecting a decline in cash flow. Payout ratio is over 100%.
WEAK BUY
Some of the REITs he likes includes Riocan (REI.UN-T) and Canadian Apartment (CAR.UN-T). The problem is, they are well recognized, and are mature part of the trust market so the yields are fairly low. A lot of the easy money has been made.
BUY
An apartment landlord. Likes this one. Good management.
WEAK BUY
All of the dynamics of apartment markets have been getting better. This one had investor concerns because of an expensive acquisition a few years ago, but they are working their way through that. This has an older portfolio, so there is a question if they are doing enough at the moment to keep their buildings in good shape.
WATCH
A very interesting story. Good yield. Have a lot of things working for them. Occupancy rate has gone up to 98%. There is some concern that they haven't been doing enough capital expenditures and have had to give up quite a bit of income to get the occupancy. Apartment scene in Toronto looks good.
BUY
Relatively undervalued versus the commercial REIT's.
TOP PICK
Has been beaten down. A contrarian play. Have the advantage of CMHC financing. Gradually cleaning up bits and pieces from the merger.
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