After years of rapid change, Canada’s commercial property market is settling into a new rhythm. Owners and operators are learning that the best way to stay competitive isn’t guessing where the market will go next, it’s knowing what’s happening inside their own portfolios today.

Digitization is giving them that power. By connecting accounting, operations and leasing data, real estate professionals can see performance clearly, cut delays and make smarter decisions across office, retail and residential assets.

Office space finds its purpose

The Canadian office sector continues to evolve as hybrid work becomes the norm. CBRE reports that national office vacancy dropped to 19.5 per cent in the third quarter of 2025, class A buildings hit 16.1 per cent and class B/C were 25.5 per cent. Marking overall a modest but meaningful improvement after years of adjustment. Roughly 60 per cent of Canadian businesses employees state their employer requires them to be in office two or more days a week, a significant change since 2024, which continues to shape how companies use their space and how property teams plan for the future.

Making office space work smarter

For office occupiers, today’s environment brings both complexity and opportunity. Having direct access to tools that track occupancy, energy use and desk/boardroom utilization helps employers understand how their space is actually being used, insights that came from a CRE lease analysis software. With this visibility, workplace leaders can right-size operations, adjust layouts and make data-driven decisions about long-term office needs.

It also benefits employees. When teams can see who will be on site, they can plan meetings, brainstorming sessions and one-on-ones more effectively. The result is a more intentional workplace where time in the office feels purposeful and collaborative.

Simplifying commercial lease management

For landlords, commercial leases are complex, but automation helps simplify renewals, creation and compliance. AI tools such as automated lease abstraction extract and organize clauses in seconds, giving decision-makers the data to maximize rental income, reduce vacancies and maintain transparency. A connected platform also lets teams benchmark lease terms across properties, negotiate better deals and ensure financial accuracy. 

Retail looks beyond transactions

Retail real estate has once again shown its resilience. As foot traffic returns and new store formats emerge, owners are focusing more on curating experiences that keep customers coming back. According to the Retail Council of Canada’s Retail Conditions Quarterly, 74 per cent of retailers reported stronger summer sales, with 83 per cent seeing margin gains thanks to tighter inventory control and steadier domestic spending. Consumer confidence may be mixed, but the sector continues to outperform expectations, buoyed by local travel and a renewed focus on value. 

For asset managers, the focus is on understanding performance at the unit level. A single dashboard that tracks sales, lease expiries and vacancy risk helps flag underperforming tenants and supports proactive steps such as early marketing or planned improvements.

Reconfiguring space with flexibility

To simplify and expedite reconfigurations use platforms with CAD and space-planning tools. This technology lets teams test layouts, remeasure areas automatically and adapt units to new commercial space formats. With millions of square feet planned for redevelopment across Canada, a flexible system helps manage both long-term and short-term leases efficiently and keeps renewals on track.

Keeping retailers connected

For existing or new tenants, portals remain essential for communication, giving retailers easy access to maintenance, invoices, critical lease documents and updates while helping asset managers strengthen relationships and streamline operations.

Residential and mixed-use on the rise

Residential and mixed-use developments continue to gain momentum across Canada. Developers are delivering more purpose-built rentals, and communities that blend retail and residential space are becoming standard in urban centres.

Managing these assets can be complex, especially for teams new to the model. Success comes from connecting people and technology. When residential, retail and office components operate on the same platform, accounting, maintenance and reporting stay aligned, ensuring consistent service and clear visibility across the portfolio.

Renter expectations are higher than ever

They want convenient mobile access to make payments, submit maintenance requests and communicate with property teams. Chatbots are now central to this experience, providing 24/7 support for questions and emergencies while keeping daily operations under control. A recent Yardi study found that when bots sound natural, users often don’t realize they’re automated. As a result, they help book 21% more appointments, complete the process 28% faster, and speed up move-ins by nearly three days—creating real efficiencies that boost NOI.

Reliable data supports ongoing performance and growth

Tracking renewals, occupancy and expenses in real time improves budgeting and capital planning. For new developments, that same insight can shape marketing strategies, ensuring properties launch ready to attract renters online ahead of competitors with listings available in both English and Quebec French to reach the widest audience possible.

Clarity is the new competitive edge

If the last decade of commercial real estate focused on expansion, the next will focus on precision. Growth now depends less on adding properties and more on improving the performance of existing ones. That begins with clarity, and clarity depends on connected data.

Property teams can start by focusing on three essentials:

1. Centralize information. Bring leasing, operations and financial data into one connected platform to see the full picture.
2. Automate intelligently. Use AI to simplify commercial leases and renewals and add AI-powered chatbots to improve communication and responsiveness.
3. Stay market ready. Use insights from vacancy and expense data to refine marketing and ensure new properties stand out to renters and tenants online.

When people and technology work together, portfolios become more transparent, operations more efficient and decision-making more confident. In a changing market, that confidence can make all the difference.

At Yardi, we work with Canadian owners and operators who see digitization not as a trend but as a foundation for the future. Those who embrace it will be ready to meet new challenges and rise above expectations in the next chapter of commercial real estate. Visit yardi.com to learn more about your options.