Real Property Policy Notice 2025-3: Real Property Authority Pilot
Date:
Overview
The Treasury Board of Canada has approved a 5-year pilot for risk and capacity-based real property transaction limits. Under this model, a department can transact (e.g., buy, sell, lease) real property according to their assessed management capacity and the risk of the transaction. The pilot is designed to:
- Reinforce accountabilities and responsibilities;
- Enhance governance and oversight within departments;
- Promote effective real property management;
- Promote evidence-based decision making;
- Accelerate real property transactions.
The capacity of a department is assessed on its:
- Real property management processes, systems, controls and governance, and its resource competency and capacity;
- Asset life-cycle management processes and the maturity of its real property portfolio management and transaction management functions;
- Actual trends related to asset condition, functionality and utilization over a period of three years.
The risk of a transaction is based on:
- Characteristics of the real property;
- The type (e.g., purchase, sale, lease) of transaction and the value it brings to the Crown (both financial and non-financial, e.g., community benefits); and
- Number and type(s) of parties involved.
Application
Any department with responsibility for the management of federal real property can request to join the pilot.
Real property transaction limits for organizations participating in the pilot can be found under the heading Risk and Capacity-Based Special Limits in the Transaction Approval Limits and Conditions for the Acquisition or Disposition of Real Property repository page.
Under the Federal Real Property and Federal Immovables Regulations, a minister who has the authority for real property may transact in real property without seeking Treasury Board approval when the market value consideration paid or received does not exceed the limits and conditions. Unless specifically mentioned or otherwise previously approved, the general limits apply.
Enquiries
Questions about this policy notice can be directed to tbs-sctinvestmentmanagement-gestiondesinvestissements@tbs-sct.gc.ca