And CapREIT has said it's submitted "
Still, Boardwalk's Kolias said building new stock is less of a priority for his company than is maintaining and upgrading its existing properties. "There's a long period of time [in development] where a lot of money goes out the door, but you don't bring anything, and so the ability to fund that distribution during that period becomes a little bit more constrained," said Kornack, who covers the real estate market for National Bank.Kornack also noted that while REITs are in a healthy position now, they're facing cost pressures from higher interest rates as their mortgages come to maturity.
"Historically, one of the biggest risks to real estate valuations is the building of oversupply in a particular market, which results in significant corrections of property values market wide,"Still, Boardwalk and other publicly traded REITs say they want to play a role in meeting Canada's demand for affordable housing.