Market Report
Calgary Multifamily Market Report
2026 Investment Forecast
Waves of New Supply Push Rental
Market Further in Tenants’ Favour
Vacancy to drift higher amid widening supply-demand gap. As completions remained elevated against a backdrop of slowing population growth, Calgary’s apartment vacancy rate rose for a second consecutive year in 2025. This supply-demand imbalance is expected to widen in 2026. Projects launched during the post-pandemic period of record in-migration will continue to reach completion. Apartment construction starts also showed few signs of easing by the end of last year, suggesting that supply pressures could extend well beyond 2026. At the same time, the downtown office-to-residential conversion program will add yet another source of new supply. On the demand side, population growth — while still one of the strongest in Canada amid affordability advantages — is set to decelerate further as Ottawa places tighter constraints on international migration. Premium buildings with modern amenities are expected to face longer lease-up timelines due to more competition from new supply, while older and more affordable stock should see comparatively firmer demand. Together, these forces will sustain a renter-friendly environment, characterized by another year of rising vacancy and continued downward pressure on rent growth.
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