Investors are facing a liquidity trap with “paper real estate” as redemption freezes in private real estate funds restrict liquidity. Canadian funds like Centurion Apartment REIT, KingSett Capital Inc., and Trez Capital have all experienced freezes. Public alternatives like RioCan, SmartCentres REIT, and Canadian Apartment Properties REIT offer valuations, but direct ownership of real estate assets is becoming more attractive due to control over liquidity and tax advantages. A managed portfolio model, like the one offered by Buttonwood Property Management, provides a fee advantage and greater autonomy for investors.

Read more at Barchart: Why Direct Ownership May Be Safer