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Value of Building Permits in Canada Grows 15.3% in September

The value of building permits in Canada increased 15.3 percent to $6.6 billion in September, following two months of declines, according to Statistics Canada. This gain was a result of increases in both the residential and non-residential sectors.

In the residential sector, the value of permits was up for a second consecutive month. Residential construction intentions increased 8.3 percent to $3.9 billion. Ontario and British Columbia accounted for most of the growth at the national level.

In the non-residential sector, municipalities issued permits worth $2.7 billion, up 26.7 percent, following a 24.2 percent decline in August. September's increase came mostly from higher construction intentions for commercial buildings in Ontario, Quebec and British Columbia.

The total value of building permits increased in five provinces, led by Ontario, British Columbia and Quebec.

The value of building permits for single-family dwellings increased by 9.5 percent in September to $2.2 billion, following five months of declines. This increase was due to higher construction intentions in seven provinces, led by Ontario.

Intentions for multi-family dwellings rose 6.7 percent to $1.6 billion, the second monthly increase in a row. British Columbia recorded the largest increase among the six provinces that reported a gain. Construction intentions for multi-family dwellings declined in Quebec, Alberta, Manitoba and Newfoundland and Labrador.

Nationally, municipalities approved 17,510 new dwellings in September, up 4.0 percent from August. The increase came mostly from single-family dwellings, which rose 9.2 percent to 7,178 units. The number of multiple-family dwellings edged up 0.6 percent to 10,332 units.

In the commercial component, municipalities issued permits worth $1.5 billion in September, a 37.8 percent increase following two monthly declines. The increase was due mainly to construction intentions for office buildings in Ontario, Quebec and British Columbia.

In the institutional component, the value of permits increased 23.4 percent to $858 million. The gain was largely attributable to higher construction intentions for medical facilities and religious buildings in Ontario, which was enough to offset decreases in seven provinces.

In the industrial component, the value of permits edged up 0.3 percent to $375 million. An increase in the value of permits for manufacturing plants in five provinces offset declines in intentions for utilities and transportation buildings in eight provinces.

By Province
The value of building permits increased in five provinces: Ontario, British Columbia, Quebec, Prince Edward Island and Nova Scotia.

In Ontario, the gain was the result of increases in the commercial and institutional components, as well as in the residential sector. In British Columbia, the increase came from the non-residential sector and higher intentions for multiple-family dwellings. In Quebec, the increase was due mostly to gains in the commercial component of the non-residential sector. Various institutional and commercial buildings increased the value of the non-residential sector in Prince Edward Island.

New Brunswick and Manitoba posted the largest decreases. In New Brunswick, construction intentions were down in the institutional component. In Manitoba, the largest declines occured in permits for commercial buildings and multi-family dwellings.

By Metropolitan Area
The total value of permits increased in 21 of the 34 census metropolitan areas. The strongest gains occurred in Toronto, Vancouver, Gatineau and Guelph.

In Toronto, the increase came mostly from single-family dwellings, while in Vancouver it was due mostly to multiple-family dwellings. In both Gatineau and Guelph, the commercial component led the increase.

The largest declines occurred in Edmonton and Montréal. The decrease in Edmonton came from both the residential and non-residential sectors. In Montréal, it was the result of reduced intentions for multi-family dwellings and institutional buildings.


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