“Our buildings are full, and our tenants are paying rent,” KingSett CEO Rob Kumer told BNN Bloomberg in an emailed statement. “Unfortunately, we have seen downward pressure on property values and illiquidity in the market.”
Kumer added that retaining liquidity and shoring up the firm’s balance sheet is the prudent approach to ensure it can seize growth opportunities when the market inevitably recovers.
Recently, Keith Reading, Morguard’s director of Research, shared his insights on the Canadian CRE market with WP. He said that a strong portfolio is key to riding out challenges.
“It’s times like this, when things are a little rocky, a little challenging, when it pays to own good real estate,” he said. “When you come out of a down economic period, good real estate tends to carry you through those challenges and you come out the other side in a little better condition.”
Cash flow is king
In an interview in August, Kumer talked about the importance of cash flow, following a recent injection of investor cash to the $18 billion AUM Toronto firm.
