Back to School: Student Living or Condo Investment

Universities have a transformative effect on cities. Condos provide housing for local and international students and provide steady rental income for property buyers. When deciding to invest in a condo near a university, you should always weigh the pros and cons and consider your specific situation.

The benefits of investing in a condo near a university/college include: consistent demand for housing with a large pool of students in the fall, multi-bedroom properties can maximize rental income, convenient access to businesses in high density areas, and the strong potential for property appreciation. On the contrary, there is more frequent tenant turnover, potential for more damage due to wear and tear, multi-tenant units may cause complications requiring more management, and students tend to have lower credit/rental history. It's important to weigh the pros and cons before investing.

Universities in Big Cities

The largest universities in Canada are the University of Toronto (UofT) in Toronto and the University of British Columbia (UBC) in Vancouver. These universities are located in the largest cities, mutually benefitting each other.

The Design Haus Condos at 181 Huron St, Toronto, ON

The Design Haus Condos is a 17-storey condo completed in 2021 situated at the corner of Huron St and College St, right across the street from University of Toronto. This address stands out as a prime investor asset and student-centric residence due to its close proximity to campus. Residents also have great access to public transit and variety of nearby restaurants and coffee shops.

YC Condos at 7 Grenville Street in Toronto, ON

YC Condos are located just off Yonge Street, short walk to U of T and Toronto Metropolitan University (TMU). Amenities include a 66th-floor indoor infinity pool overlooking the city skyline, spa, rooftop terrace, 24-Hour concierge, exercise room, and party room.

In BC, Wesbrook Village is the closest off-campus neighbourhood to UBC, which is surrounded by Pacific Park. The condos in Westbrook Village are Leasehold strata condos on the University Endowment Lands (UEL). The land is owned by the University of British Columbia, while you own the building structure. Most UEL and campus residential leases are fully pepaid by the developer for 99 years.

Eton at 3487 Binning Rd in Vancouver, BC - 3 minute drive or 7 minute walk from UBC.

Eton is located in Wesbrook Village neighbourhood at the University of British Columbia (UBC) in Vancouver, directly across from Michael Smith Park and steps from Pacific Spirit Regional Park.

Universities in Smaller Cities

On the other hand, there are universities situated in smaller cities which drives the population in the area. Universities in these towns often shape the social, cultural, and economical landscape. Economic growth is often the result of building schools in smaller towns. For example, the University of Waterloo and Wilfred Laurier University in Waterloo, ON drive a lot of the condo rental market in the area. In almost every condo listed for sale, the potential for investment income is noted.

ICON330 at 330 Phillip St in Waterloo, ON

Outside of Ontario and BC, other campuses are thriving in even smaller towns. For example, Dalhousie University in Halifax, Nova Scotia, the University of Manitoba in Winnipeg, and Memorial University of Newfoundland in St. John's.

The Trillium at 1445 South Park St in Halifax, NB

Are you a student renting in one of these condos? Help others make the right choice and let CondoAdvisory know how your experience was.