The Financial Post reports in its Tuesday, July 30, edition that last month's surge in commercial real estate activity is attributed to recent changes in capital gains taxes. The Post's Shantae Campbell writes that according to Colliers Canada, a wave of asset sales was prompted by changes that came into effect on June 25. Owners rushed to divest before the new tax implications took hold. A record-setting flurry of transactions ensued, with Colliers closing 156 deals from June 1 to June 30. This marked a 26-per-cent increase compared with June, 2023, and represented the highest number of June transactions in a decade. Colliers's Adam Jacobs says: "It was a big surprise for us, of course, because the commercial market was down. Everyone had an opportunity to do a deal at the old capital gains tax so I think that was what we saw people do: 'I think I'll just cash out now and do the deal before I have to deal with more taxes in the future.' It's already a difficult market, and it's getting more difficult." In June, commercial real estate saw success but now faces challenges adjusting to new tax laws and broader market conditions. Mr. Jacobs believes the long-term impact of the higher tax might be minimal.