Graywood Developments has launched a new build-to-rent business line.

The company said the move demonstrates “a decisive response” to current market demands and diversified approach to the Greater Toronto Area’s housing needs. Graywood has chosen its first five projects totalling approximately 3,000 suites.

Two are located at 241 Church Street in downtown Toronto and 3201 Highway 7 in Vaughn, Ont.

“Our strategic move into rental addresses the growing demand for professionally managed, well designed rental buildings in triple A locations, and responds to the supply-side pressures in Canada’s housing market over the long-term,” said Gregory Sweeney, Graywood’s chief operating officer.

The Toronto-based company has been studying the expansion into BTR as a “long-term complement” to its condominium portfolio, he added.

“Build-to-rent is not a temporary pivot for us—it’s an integral part of our strategy to meet housing demand in urban neighbourhoods where people are increasingly choosing to rent,” said Sweeney. “At the same time, we believe both pre-construction condos and homes will continue to be an attractive option for buyers, in key markets.”

His comments represent a show of faith in the GTA’s struggling condo sector.

Photo: Graywood Developments