Written by Malvinder S. Tiwana | Source: Financial Post, PwC Canada, and Urban Land Institute (ULI)
Calgary’s real estate market continues to command national attention — and the latest PwC Canada and Urban Land Institute (ULI) report confirms what many industry observers have sensed for months: Calgary is set to become Canada’s top real estate market in 2026.
According to the Financial Post coverage of the PwC–ULI findings, Canada’s real estate sector is entering a transitionary phase. While markets like Toronto and Vancouver recalibrate their condo pipelines toward rental housing, Calgary remains a standout story of adaptability, economic strength, and policy responsiveness.
A Transition Year with One Clear Winner
The PwC report describes 2026 as a “transition year,” with companies searching for new ways to grow amid higher construction costs and constrained lending conditions.
Toronto and Vancouver are expected to shift further toward purpose-built rentals and student housing, reflecting how changing demographics and affordability pressures are reshaping demand.
But Calgary’s momentum, as the report notes, stems from three fundamental forces:
- A robust provincial economy supported by energy diversification, technology, and logistics.
- Record-setting housing construction sustained over the past three years.
- Strong interprovincial and international migration, continuing to swell demand across housing types.
This combination of population inflow, infrastructure delivery, and builder confidence has made Calgary the most promising market for 2026, with other Canadian cities still finding their post-pandemic balance.
Policy Agility and Supply Delivery Drive Confidence
Richard Joy, Executive Director of ULI Toronto, highlighted that Calgary’s policy agility — its ability to approve and deliver new housing supply efficiently — remains the key differentiator.
In markets where policy delays have hindered growth, Calgary’s streamlined development approvals and strategic zoning reforms have improved the pace of housing delivery. This policy clarity, combined with municipal support for innovative housing models, has strengthened investor confidence and positioned the city as a model of collaborative urban growth.
Modular and Prefabricated Homes: The Next Growth Frontier
PwC’s outlook for 2026 anticipates a significant rise in prefabricated and modular home construction, contingent on supportive financing frameworks.
During the last federal campaign, the government pledged $25 billion in debt financing and $1 billion in equity financing for modular-home developers. Ontario added a $50 million capacity-building fund for companies scaling modular housing production.
These measures underscore the growing recognition that factory-built housing can help ease supply shortages — yet, as Financial Post cites from a CMHC study, modular construction is “no silver bullet.” Many localities prefer onsite employment for local trades rather than importing prebuilt units, raising questions about how modular housing will integrate into established communities.
In Alberta, however, the market’s pragmatic approach could make modular development more feasible. If financing options evolve — as PwC suggests — Calgary could become a national leader in modular housing innovation, blending affordability, sustainability, and speed of delivery.
Financing Shift: Private Capital Steps In
One of the more striking observations in PwC’s report is the rise of private capital in real estate financing. With traditional equity and bank debt becoming harder to access, real estate investment trusts (REITs) and private-debt instruments are filling the void.
Fred Cassano, PwC’s National Real Estate Leader, notes that this evolution is “fuelling innovative business models” and unlocking new value in alternative sectors such as student housing, medical offices, and storage facilities.
In Calgary, where economic fundamentals remain strong, this shift could attract institutional investors and mid-scale developers seeking stable, income-producing assets. The city’s balanced regulatory environment and demographic tailwinds make it ideal for long-term private investment — particularly in purpose-built rentals and healthcare-related real estate.
Commercial Real Estate: From Medical to Storage Boom
As Canada’s population ages, PwC projects medical office buildings to gain momentum nationwide. Simultaneously, denser urban living is driving growth in self-storage and flexible warehouse spaces.
In Calgary, both trends align with emerging land-use patterns. Suburban medical clusters and urban-core micro-storage projects are already visible across corridors like Seton, Beltline, and Airport Trail. These sub-sectors, once overlooked, now represent high-yield, resilient investment niches.
For developers and investors eyeing Calgary, diversification into healthcare, logistics, and storage assets could offer consistent returns while the residential market continues to adjust to new affordability realities.
Why Calgary Is Outpacing National Trends
While Canada’s national housing narrative remains dominated by affordability concerns, Calgary’s market offers a contrasting picture of supply meeting demand more effectively.
Key differentiators include:
- Relative housing affordability: Even after record price appreciation, Calgary’s detached and attached homes remain more attainable than in other metropolitan areas.
- Faster project approvals: Developers benefit from reduced red tape and predictable timelines.
- Employment growth: Job creation across tech, energy, and services continues to attract skilled workers and families.
- Population expansion: Calgary’s share of interprovincial migration remains among the highest in Canada, sustaining both ownership and rental demand.
These structural advantages explain why, as PwC emphasizes, Calgary is the most “future-ready” real estate market in Canada.
A Pivotal Moment for the Canadian Real Estate Sector
The report concludes that the national industry is at a pivotal crossroads, where collaboration across sectors — construction, finance, technology, and government — will determine the pace of housing delivery and affordability recovery.
Cassano’s observation that “addressing the construction shortage is essential” resonates deeply. Housing supply, after all, influences every asset class — from retail to industrial — and Calgary’s example demonstrates how policy alignment and private-sector agility can unlock meaningful progress.
Final Reflection
Calgary’s emergence as the nation’s top real estate market for 2026 is not an accident — it’s the outcome of consistent policy execution, population inflow, and industry adaptability.
While other Canadian cities work through cycles of regulatory hesitation and construction bottlenecks, Calgary stands ready to define a new era of balanced, sustainable growth.
If PwC and ULI’s projections hold true, Calgary’s performance next year will not only shape investor sentiment — it could redefine national housing strategy for years to come.
References
- Financial Post, “Calgary to be Canada’s top real estate market amid transitionary 2026, report says”, by Ben Cousins, published Nov 13 2025.
- PwC Canada, Emerging Trends in Real Estate® 2026, in partnership with Urban Land Institute (ULI).
- Canada Mortgage and Housing Corporation (CMHC), Modular Housing Report.
Disclosure: This review article is an independent commentary written by Malvinder S. Tiwana for www.maltiwana.ca, based on publicly available information and journalistic reporting from Financial Post and PwC Canada. All intellectual-property rights of the original sources are fully acknowledged.
