Many Canadians own homes, may have residential investment condos, and might even hold stocks in commercial real estate companies. What many are likely missing is having direct investments in local Canadian shopping plazas in their portfolios. Why is this investment so important? What are Canadians sacrificing when they don't have it?
Yes there are many charities to support around the world. There are also nice-looking, cheap condos to retire to abroad. Yet, when it comes to investments and establishing a business why not do it close to home? Canada's shopping plaza outlook is positive, especially if Canadians continue to invest and support their local economies. As stated by provincial Alberta based grocery chain Freson, "there's really nobody championing Alberta products, Alberta producers. We're Albertan. We've been here for 63 years". The Freson Bros. and other Canadian investors believe the outlook is bright for small businesses and home grown products, if their given the attention they deserve. That investment comes back to us in many ways, financially and in community.
Ask billionaire investor Sam Zell the secret to making money and smart financial moves. He'll tell you it's all about supply and demand. The world loves Canada, the investment opportunities and the future it offers. It only makes sense that we see that benefit from being involved in supplying the demand, and not just giving it all away. Foreign homebuyers just can't get enough of our properties nor can commercial real estate investors. Even Peter Thiel's new venture capital firm Atomic VC is focused on Canada and its talent with its investment in Terminal.
If there is one thing we all need, and will only need more of in the future (besides air and water) it is passive income. Too few investments offer reliable streams of truly passive income with good returns. Shopping plaza investments can offer the passive income that we need.
Commercial property investments in these assets are also great for facilitating wealth growth. This can be organic or controlled by redevelopment, improvements and smarter leasing and management.
Real estate is a hard, tangible asset. While global markets may boom and bust, and even individual assets may fluctuate in value over time, these properties have concrete value and income potential. In tough economic times local shopping plazas are typically the last to take the hit and first to bounce back. This can be critical for those looking for reliable retirement investments. Summary Although direct investment in this asset class may float under the radar of many individual Canadian investors and families, it comes with many critical benefits. Those benefits may be even better for those getting in right now, given new investments in related enterprises and the strong demand for Canadian real estate from the investors around the world