Who Is Purchasing $500 Million Worth of Unsold Condos in Toronto? And Why?

May 12, 2026: While residents of Toronto are facing the challenges of a declining condo market, the Montreal-based Jesta Group has announced its bulk acquisition of condos valued at over $30 million in downtown Toronto.

According to the company, this marks the initial phase of its 12-month strategy to target 1,000 properties worth more than $500 million in the city. The company has not disclosed the exact number of condos it has purchased or plans to purchase, nor their specific locations within Toronto.

Anthony O’Brien, the Senior Managing Director of Jesta, stated that his company is “actively pursuing” additional bulk acquisitions in “high-quality” downtown Toronto locations and encouraged developers with suitable inventory to contact him or his firm directly.

Context:

This news comes at a time when an analysis of Toronto’s real estate market revealed that condo sales had fallen to a 35-year low in the first quarter of 2026. Additionally, no new condo projects were launched in the Greater Toronto Area (GTA) for the first time in decades.

The analysis also indicated that a record-high of 4,295 new condos were completed in the city, but remained unsold as of Q1. This number is more than double the unsold inventory from the previous year and five times higher than it was in 2024.

Who Is Jesta?

Jesta Group is a Montreal-based multi-family firm founded in 1992 by Elliott Aintabi. The company manages a diversified portfolio of real estate assets across commercial, residential, retail, and hospitality sectors in North America and Europe, with offices in Miami, London, and Paris. Jesta is known for its strategic investments and has a strong presence in the digital entertainment and enterprise technology sectors. The firm aims to leverage its real estate portfolio to create financial opportunities and provide outstanding returns for its partners.

Why Is Jesta Investing Heavily in a Depressed Condo Market?

In the absence of detailed information from the firm regarding its short-term, mid-term, and long-term objectives for this investment, market analysts believe Jesta is pursuing a strategy based on four likely reasons: 

1. Market Opportunity: The current condo market in Toronto is experiencing a significant downturn, with many units sitting unsold and potential buyers hesitant to make purchases. Jesta’s acquisition strategy aims to capitalize on this market condition by acquiring unsold inventory and generating cash flow through rental income.

2. Long-term Investment: Jesta plans to rent the acquired units in the medium term to generate cash flow while waiting for the market to absorb the excess condo inventory. They anticipate a shortage of new condo inventory between 2028 and 2030, which is expected to drive prices upward.

3. Capital Deployment: Jesta’s $500 million commitment indicates serious and sustained capital investment in Toronto, which is projected to become a significantly more active segment of the market.

4. Unique Opportunity: The federal and provincial harmonized sales tax (HST) rebate program eliminates 13% in combined taxes for buyers of newly built rental homes, giving Jesta a unique opportunity to acquire and hold units until the market improves.

Bottomline: Jesta’s approach to the Toronto condo market is a calculated strategy to leverage current market conditions and capitalize on future growth.

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