Real Property Policy Notice 2025-2: Updates to the Transaction Approval Limits and Conditions for Real Property Transactions

Overview

The Transaction Approval Limits and Conditions for the Acquisition or Disposition of Real Property for some low-risk real property transactions have been updated for all departments responsible for the administration of federal real property. Real property transactions below these limits can be completed under the Minister’s authority while transactions above these limits must be presented to the Treasury Board for approval. The changes include:

1. Increased general limit to sell to Canada Lands Company to $15M from the previous $2.5M.
2. Updated transaction limits for Transfers of Administration between federal departments to the greater of the Net Book Value of the property or $500,000 from the previous $500,000.

Application

These limits were increased to continue to support the timely disposal of surplus federal real property. It is important to note that all other policy requirements remain in effect, including the need to justify the transaction price in relation to market value.

Departments must continue to responsibly exercise their real property authorities. This includes maintaining the government’s commitment to fairness, openness and transparency in all acquisition, management, and disposal processes.

Departments are reminded of their obligations to ensure that decisions related to real property are supported by a documented rationale and/or a business case.

With any real property transaction, departments are required to ensure that proper controls, oversight and processes are in place. Senior designated officials are advised to update their departmental real property management framework as needed to reflect the amendments.

Enquiries

Questions about this policy notice can be directed to tbs-sctinvestmentmanagement-gestiondesinvestissements@tbs-sct.gc.ca