Insights

Real Estate Valuation plays a critical role in determining how capital flows through the real estate market. Drawing on two years of research and collaboration with Canadian financial institutions, Affine explored how sustainable valuation can evolve in Canada through stronger market demand, helping better connect building performance, risk, and value while supporting the transition to a low-carbon and climate-resilient building sector.

Through the Banking on Buildings Program, Affine Climate Solutions identified targeted capital relief as a high-impact opportunity to scale preferential financing for climate-aligned buildings. Our Budget 2026 submission explores how this market-based approach could unlock private investment in housing, retrofits, and climate resilience while maintaining financial system stability.

Mass timber is emerging as a new model for climate-aligned real estate development — combining low-carbon construction, prefabrication, and high-performance building systems to improve project delivery, strengthen operational resilience, and support stronger long-term financial outcomes. As evidence and market familiarity continue to grow, advanced wood construction is increasingly being recognized not only as a sustainability solution, but as a performance-driven investment strategy.

Research from the Banking on Buildings Program demonstrates that climate-aligned buildings consistently outperform conventional assets on financial returns, resilience, and credit risk.