Canadian Residential Construction Investment Up 3.3% in 3Q - Modern Distribution Management

Canadian Residential Construction Investment Up 3.3% in 3Q

Apartment and apartment-condominium building construction contributed to the growth.

Canadian investment in residential construction totaled C$31.9 billion (US$23.8 billion) in the third quarter, up 3.3 percent compared with the same quarter a year earlier.

The advance was due to increases in investment in apartment and apartment-condominium building construction (up 21.5 percent to C$4.7 billion (US$3.5 billion)), acquisition costs related to new dwelling units built (up 7.4 percent to C$3.6 billion (US$2.7 billion)), renovation spending (up 1.3 percent to C$14.1 billion (US$10.5 billion)) and spending on converted dwelling units (up 76.9 percent to C$385 million (US$287.7 million)).

Residential construction investment increased in five provinces in the third quarter. Ontario reported the largest gain, followed by British Columbia and Quebec. In Ontario, investment grew 9.5 percent to C$12.2 billion (US$9.1 billion) in the third quarter compared with the same quarter a year earlier. Spending on single-family dwelling construction, apartment and apartment-condominium building construction and renovation work, as well as acquisition costs related to new dwelling units built were responsible for much of the increase.

In British Columbia, residential construction investment rose 5.2 percent to C$4.5 billion (US$3.7 billion) in the third quarter. The advance occurred mainly as a result of higher investment in apartment and apartment-condominium building and single-family dwelling construction, as well as higher acquisition costs.

In Quebec, investment in residential construction increased 3 percent to C$6.7 billion (US$5 billion). Spending on renovation work, converted dwelling units and apartment and apartment-condominium building construction was sufficiently large to offset decreased investment in single-family housing and lower acquisition costs associated with new dwelling units completed.

Saskatchewan registered the largest decrease, followed by Alberta and Manitoba. In Saskatchewan, investment totaled C$981 million (US$733 million) in the third quarter, down 16.6 percent from the third quarter of 2014. The drop was mostly the result of lower spending on single-family dwelling construction and lower acquisition costs.

In Alberta, construction spending decreased 3.4 percent to C$4.8 billion (US$3.6 billion) in the third quarter. Lower investment in single-family dwelling construction offset higher spending on apartment and apartment-condominium buildings, renovation work and row housing, as well as increased acquisition costs.

In Manitoba, investment in residential construction declined 14 percent from the third quarter of 2014 to C$901 million (US$673.2 million) in the third quarter. The decline was attributable to lower investment in single housing construction and renovation work.

Share this article

About the Author
Recommended Reading
Leave a Reply

Leave a Comment

Sign Up for the MDM Update Newsletter

The MDM update newsletter is your best source for news and trends in the wholesale distribution industry.

Get the MDM Update Newsletter

Wholesale distribution news and trends delivered right to your inbox.

Sign-up for our free newsletter and get:

  • Up-to-date news in a quick-to-read format
  • Free access to webcasts, podcasts and live events
  • Exclusive whitepapers, research and reports
  • And more!

2

articles left

Want more Premium content from MDM?

Subscribe today and get:

  • New issues twice each month
  • Unlimited access to mdm.com, including 10+ years of archived data
  • Current trends analysis, market data and economic updates
  • Discounts on select store products and events

Subscribe to continue reading

MDM Premium Subscribers get:

  • Unlimited access to MDM.com
  • 1 year digital subscription, with new issues twice a month
  • Trends analysis, market data and quarterly economic updates
  • Deals on select store products and events

1

article
left

You have one free article remaining

Subscribe to MDM Premium to get unlimited access. Your subscription includes:

  • Two new issues a month
  • Access to 10+ years of archived data on mdm.com
  • Quarterly economic updates, trends analysis and market data
  • Store and event discounts

To continue reading, you must be an MDM Premium subscriber.

Join other distribution executives who use MDM Premium to optimize their business. Our insights and analysis help you enter the right new markets, turbocharge your sales and marketing efforts, identify business partners that help you scale, and stay ahead of your competitors.

Register for full access

By providing your email, you agree to receive announcements from us and our partners for our newsletter, events, surveys, and partner resources per MDM Terms & Conditions. You can withdraw consent at any time.

Learn More about Custom Reports

Request a Market Prospector Demo

  • This field is for validation purposes and should be left unchanged.