Your straight answer guide to the quiet shift in who is building what in Alberta, and what it means if you are buying a first home or planning your move up.
Over the past few weeks, owners at The Berkeley, a downtown Edmonton condo building near 101 Avenue and 116 Street, have gone public about letters from investment firms offering to buy their units. Some owners have used the word predatory. Their concern is that enough units in the hands of one buyer can turn an entire building into a rental. That is called a condo deconversion, and it matters to anyone buying or selling in Edmonton and Area, because condos are the front door to ownership for a huge share of first time buyers.
What a Deconversion Actually Is
There are two versions. In the first, an investor buys up units in a building that already exists, then moves to wind up the condo and operate the whole building as rentals. Under Alberta's Condominium Property Act, condo status can be terminated by a court application or by a unanimous vote of owners, and once the termination is registered, the condo corporation ceases to exist. A judge hearing a termination application has to be satisfied that it is just and equitable when the rights and interests of the owners as a whole are considered. The Realtors Association of Edmonton has asked the province to give a group that owns multiple units just one vote, so it cannot force other owners out. Service Alberta's minister has said his office is aware of the concerns and is looking into them.
In the second version, a developer plans a condo project and switches it to rental before or during construction. CMHC says this is happening in some markets because rental projects currently have better financing and policy support than condos that struggle to sell.
None of this is brand new. Back in 2014, Edmonton brokers were describing condo to rental conversions as one of the biggest forces in the local apartment market. What is different now is the scale of rental construction sitting behind it.
What Edmonton Owners Are Reporting
In late September, Global News reported that owners and board members at The Berkeley were being flooded with letters from companies offering to buy their units. The letters promoted converting the building to rentals and promised above market prices. Owners worried that a company could reach a majority voting stake and leave everyone else with few options.
Darlene Reid, board chair of the Realtors Association of Edmonton, described the pattern. Rather than approaching the board with an offer for the whole building, she said, firms approach individual owners one at a time until they hold a controlling interest. From there they can take control of the board and issue special assessments or levies that remaining owners may not be able to afford. She also raised the concern that a building's reserve fund, which can reach seven figures, can end up as the down payment on a company's next acquisition. Reid said the approach is showing up at several Edmonton buildings, and called it legal but, in her view, not ethical.
Harmani Investments, an Edmonton company named by owners, told Global News its goal is long term rental housing, that it makes voluntary offers and that it exercises the rights that come with the units it owns. The company acknowledged that not everyone supports condo deconversion.
According to CTV News Edmonton, about three quarters of the owners at The Berkeley have formed a coalition to resist the offers. Reid also pointed out that units can be worth a lot more when sold as part of a whole building than as individual units, which is why owners should understand the full picture before they respond to any letter.
Investor ownership of rentals is already high here. A 2023 CBC analysis of research on the topic reported that investors owned about 48% of purpose built rentals in Edmonton, nearly double the 20 to 30% estimated nationally.
Rental Versus Ownership: What the Construction Numbers Say
CMHC publishes starts by tenure for Edmonton and Calgary, so those are the Alberta markets we can measure directly.
Across Canada's seven largest markets, which include Edmonton and Calgary, purpose built rental apartment starts hit 69,475 in 2025, double the 34,259 condo apartment starts. In 2019 the picture was reversed, with 28,877 rental starts against 47,719 condo starts.
Alberta housing starts are down 16% from January to August 2026, 30,557 compared with 36,177 a year earlier, in centres with populations of 10,000 or more.
In Edmonton, total starts fell 20% in the first half of 2026 after two record years, and CMHC says softer rental conditions are a big reason developers are being more selective.
Edmonton is bucking the national condo story. Condo apartment starts rose 14% in the first half of 2026, now make up nearly one quarter of apartment starts compared with about 3% in 2023, and completed unsold condo inventory fell by almost half. For perspective, the City of Toronto started only 156 condo units in the same six months, against an average of about 7,000 a year over the previous decade.
In Calgary, rental starts dropped more than 30% in the first half while ownership demand held up better, and unsold condo inventory fell 59%.
The takeaway: Edmonton is still building ownership housing, which is good news. But existing condo buildings are where the deconversion risk sits, and that is the stock many first time buyers rely on.
Why Entry Level Supply Matters So Much
Here is the ownership ladder in Greater Edmonton as of August 2026, using median prices:
Apartment condo: $190,000
Row or townhouse: $292,450
Semi detached: $417,500
Detached: $525,000
Every deconverted building removes rungs from the bottom of that ladder. First time buyers lose lower priced inventory, and renters who might have bought in a few years stay renters. Owners who sell into a bulk deal may get a good price, but the building leaves the ownership market for good.
The Missing Middle: Where Move Up Buyers Get Squeezed
The townhome is the step between a condo and a semi or detached home, and it is the one to watch. CMHC expects total new home starts in Edmonton to fall for a fifth year in a row, with single detached, semi detached and row home starts all expected to fall again in 2026.
The monthly data bundles semis, rows and apartments into one "all others" category, so we cannot isolate townhome starts precisely. What we can see is that from January to August 2026, Edmonton area single detached starts were down 17% (3,941 versus 4,732) and all other types were down 13% (8,713 versus 9,969).
There is encouraging news too. CMHC reports that missing middle housing kept expanding in Edmonton in 2025, and the City of Edmonton had permits in place for about 97% of its target of more than 7,700 missing middle units by November 2026. Edmonton also has no measurable housing supply gap according to CMHC, which puts it in far better shape than most big cities.
For now, move up buyers have the advantage. Townhome inventory is up 32.7% from a year ago, homes are averaging 45 days on market, and the median price is down 0.9%. The risk is further out. If the pipeline of new townhomes thins while demand recovers, the same squeeze that hit other markets can show up here.
What This Means If You're a First Time Buyer
1. Treat the condo documents as seriously as the unit. Have your lawyer review the reserve fund, the bylaws and the building's finances before you remove conditions.
2. Ask who owns the building. If one investor already holds a large share of the units, or the board says firms have been approaching owners, that matters for your future voting power, your condo fees and your resale.
3. Use your leverage. Apartment condos are sitting at about 5.1 months of supply, which is a buyer's market with room to negotiate.
4. Look at townhomes early. At a median of $292,450, a row home can be a smarter first purchase than many people expect, with a yard or garage and a built in path to your next move.
What This Means If You Own a Condo or Townhome
Question: What should I do if an investment firm sends me an offer?
Answer: Do not sign or commit to anything on the first conversation. Units can be worth considerably more when sold as part of a whole building, so get independent legal advice and a current market comparison before you respond. Tell your condo board about the offer too, since other owners are likely getting the same letter and coordinating can change the outcome. We are not lawyers, but we are glad to walk you through what your unit is worth today.
Question: Should I sell before my building changes hands?
Answer: It depends on your building, your timeline and how many units are already held by one party. That is a street by street conversation.
Question: I am ready to move up from a condo. Is now a good time?
Answer: Selling an apartment condo is the tougher side of this trade right now, while townhome and semi buyers have more selection and negotiating room. Timing both sides well is worth planning in advance.
The Bottom Line
Edmonton and Area is still building homes people can afford to own, and that sets us apart from most of the country. But the bottom rungs of the ladder are not guaranteed, and the middle rung is the one to watch over the next couple of years. If you are buying your first home, moving up from a condo, or holding a letter from an investor, we would rather talk it through than have you guess.
Have a question about your building, your price point or your timeline? Reach out, we will give you a straight answer.
780-905-6255 · thereteam.ca
Mary Bark & David Szusz, The Real Estate Team, RE/MAX River City
Sources: CMHC Fall 2026 Housing Supply Report, CMHC Housing Market Outlook 2026, CMHC housing starts data for August and September 2026, CMHC Spring 2026 Housing Supply Report, Global News (September 29, 2026), CTV News Edmonton (October 7, 2026), CBC News Edmonton, CBC News investor ownership analysis (2023), Alberta Condominium Property Act, Mortgages for Less Edmonton August 2026 market report, Canadian Apartment Magazine.
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