Why don't you think this is a good way to hold RE?
Why do you think it is riskier to buy the corporation than the asset only?
Buying the corporation also avoids land transfer. It also reduces the peurchase price by the depreciation of the asset.
A lot less down payment is required if you buy the corporation and assume the mortgage then if you buy the asset outright.
Let me draw out the two scenarios in more detail for you.
Buy corporation with $100,000 plus closing costs which just include share transfer costs and legal costs Current deferred taxes and depreciation are $200,000
Mortgage of 1,800,000 at either 3.5 % for 5 years or 4.75% for 10 years.
Mortgage payment is 10,000 or 8,000
After all expenses cash flow is either $6000 or $8000 depending on which mortgage you choose.
If you buy the asset outright. You must put down the $300,000. The other costs remain identical except for you must also pay land transfer fees.