Build
Build rental units in Alberta.
Own land, or want to? We put together the whole project: what you can build, what it costs, how CMHC financing pays for most of it, and who builds it.
Get a free build estimateIs this for you?
This is for you if…
You own land in or around Calgary or Edmonton and want to know what it can hold.
You're looking at a lot to buy and want the numbers before you commit.
You want a rental project that qualifies for MLI Select from day one.
How it works
The steps, in order.
- 01Check the landZoning, lot size and what's allowed on the site before anything else.1–2 weeks
- 02Run the numbersCost per unit, achievable rents and how many MLI Select points the project can earn.2–3 weeks
- 03Design for MLI pointsThe design choices that earn financing points are locked in before drawings are finalized.4–8 weeks
- 04Permits and construction financingWe manage the permit process and line up the construction loan.2–4 months
- 05BuildYour builder or one of ours, with monthly draws and site check-ins.9–18 months
- 06Rent up and refinanceFill the building, then refinance into a long-term mortgage and pull cash out.6–12 months
From empty lot to rental building
A real example
120 rooms in Bonnie Doon, Edmonton.
A purpose-built student housing project we helped put together. The financing was structured around MLI Select points from the start, which is what made the debt coverage work at this build cost.
- Build cost
- $12.7M
- Units
- 120 rooms
- Debt coverage
- 1.68×
- Cash flow
- ~$415,000/yr
These are projections based on the underwriting at the time, not guarantees.
Our method
What we check before anything else.
- 01
Zoning already in place
We build where the site is already zoned for it. A rezoning is 12–24 months of political risk with no financing while it's pending.
- 02
Demand you can count
A university expanding on a published plan, a hospital with rotating staff, named employers. Not a growth trend.
- 03
Land in as equity, not bought at market
When the land comes in as equity rather than a cash purchase, the cash requirement collapses and the equity position starts positive.
- 04
An operator before construction
Who runs the building at stabilization is settled at the outset — not discovered when the construction loan converts.
- 05
A budget with a real reserve
Hard costs, soft costs, contingency, interest reserve and fees — priced by someone who builds this product.
| Per room | Figure |
|---|---|
| Total build cost | $12,689,950 |
| Cost per room | ~$105,750 |
| Appraised value per room | $144,167 |
| Spread per room | ~$38,400 |
Appraised value per the lender's stabilized valuation at a 6.00% cap. Projections, not guarantees.
Our method
What makes us walk away.
Development is the one path where you can lose the whole investment. These end the conversation regardless of the projected return.
- 01
Rezoning required
If the project needs a land use change, it isn't a development opportunity yet — it's a land speculation.
- 02
No named operator
A finished building with nobody to run it is a lease-up risk arriving exactly when the construction loan converts.
- 03
A budget without a real reserve
Every development runs long. A cost stack that assumes otherwise isn't optimistic, it's incomplete.
- 04
Partners who can't carry the covenant
Lender and CMHC requirements sit behind the borrowing entity — a partnership that can't stand behind a 95% insured construction loan finds out at the worst moment.
What it costs
Typical costs.
Every project is different, but these are the buckets your budget needs. We build the full estimate with you before you commit to anything.
| Item | Typical cost | Notes |
|---|---|---|
| Land | You own it, or from ~$300K | We can also help you find a lot. |
| Design and soft costs | 8–10% of build cost | Architect, engineering, surveys, reports. |
| Construction | $250–$320 per sq ft | Varies with unit mix, finish level and city. |
| Permits and fees | $15K–$60K | City permits, levies, utility connections. |
| CMHC insurance premium | Varies, usually financed | Rolled into the mortgage rather than paid upfront. |
- These ranges are typical figures, not quotes — we replace them with real numbers for your site.
- Construction financing interest during the build is a real cost; we model it in.
Questions
Straight answers.
Do I need to own land already?
No. Many of our clients start by asking us what a lot they're considering could hold. We check zoning and run the numbers before you make an offer.
How much cash do I need?
With MLI Select, projects can finance up to 95% of the cost. In practice most of our clients bring 5–15% of the project cost plus soft costs, and we tell you the exact number before you start.
How long does a project take start to finish?
From first call to a rented, refinanced building is typically 18–30 months. The build itself is 9–18 months depending on size.
What if my project doesn't earn MLI Select points?
Then we structure it as a conventional rental mortgage. The numbers change, so we run both scenarios before you commit — that's what step two is for.
Can I use my own builder?
Yes. We work with several builders in Calgary and Edmonton, and we're happy to work with yours. We'll review their pricing and schedule either way.
Next step
Get a free build estimate.
Tell us about the land and what you're thinking. We'll come back with what's allowed, what it costs, and what the financing looks like.
Prefer to talk? Call Joshua at 403-305-9167