Value of Building Permits Issued in July Declines 3.5%

StatsCan

 

September 13, 2017

Canadian municipalities issued $7.9 billion worth of building permits in July, down 3.5% from June and the first decrease since March 2017. Lower construction intentions for commercial buildings and multi-family dwellings were mainly responsible for the national decline.

The total value of permits was down in seven provinces, led by lower construction intentions for multi-family dwellings and commercial buildings in Ontario. 

The census metropolitan area (CMA) of Toronto posted the largest municipal decrease, as the total value of building permits fell 16.2% in July to $1.5 billion. The decline followed two consecutive monthly increases and was mainly attributable to lower construction intentions for multi-family dwellings. 

In the rest of Ontario the total value of buildings permits fell 3.7% to $3.3 billion, the first decline since April 2017. The decrease was mainly attributable to lower construction intentions in the residential sector, specifically multi-family dwellings, which fell 20.5% to $849.7 million. The decline in the value of multi-family dwelling permits followed three consecutive monthly increases. In contrast, the value of permits for single-family dwellings rose 7.9% to $1.1 billion in Ontario. Overall, the value of residential permits was up 4.2% compared with the same month in 2016.

The value of multi-family dwellings in British Columbia rose 14.2% from June to $771.8 million in July, the highest value on record. The increase was mainly attributable to higher construction intentions for apartments in the Vancouver CMA. Municipalities in this CMA issued $562.2 million in permits for multi-family dwellings, up 17.4% from June and the highest value on record. 

Residential sector: decline in multi-family component

Canadian municipalities issued $5.0 billion worth of residential building permits in July, down 2.2% from June and the first decline since April 2017. Lower construction intentions for multi-family dwellings more than offset a moderate gain in the single-family component. The residential sector was down in six provinces in July, with Ontario posting the largest drop. 

Construction intentions for multi-family dwellings fell 7.4% in July to $2.5 billion, the first decline since March 2017. The value of multi-family dwelling permits was down in eight provinces in July on lower construction intentions for row houses in Ontario, specifically the Toronto CMA. Conversely, single-family dwelling construction intentions rose 3.6% in July to $2.5 billion, largely attributable to gains in five provinces, led by Ontario. The increase followed an 11.7% drop in June.

In July, Canadian municipalities approved the construction of 13,830 multi-family units (down 4.2% from June) and 5,754 single units (up 4.6% from June).

Non-residential sector: commercial component down after two consecutive monthly increases

The value of building permits issued for non-residential structures fell 5.7% in July to $2.9 billion, the first decrease since February 2017. The decline was largely attributable to lower construction intentions for commercial buildings.

The commercial component fell 14.7% in July to $1.5 billion, following two consecutive monthly increases (+15.6% in May and +13.7% in June). The decline was mainly attributable to lower construction intentions for office buildings. Every province except for Newfoundland and Labrador posted declines in the value of commercial building permits. 

The value of building permits issued for industrial structures fell 4.0% to $558.0 million in July, following a 7.8% gain in June. The decline primarily stemmed from lower construction intentions for maintenance buildings and transportation terminals.

In contrast, the value of permits for institutional structures rose 11.9%, to $903.4 million, the second consecutive monthly increase and the highest value since October 2015. The gain was mainly due to higher construction intentions for hospitals.

Source: Statistics Canada, http://www.statcan.gc.ca/daily-quotidien/170907/dq170907a-eng.htm

Related Articles


Latest Articles

  • Guide to the Canadian Electrical Code, Part 1[i], 26th Edition – A Road Map: Section 28 – Motors and Generators

    Guide to the Canadian Electrical Code, Part 1[i], 26th Edition – A Road Map: Section 28 – Motors and Generators

    Rule 28-000 – Scope states that Section 28is a supplementary or amendatory section of the code and provides additional and specific requirements for the installation, wiring methods, conductors, protection, and control of all motors and generators. Read More…

  • Statement by ECAO Executive Director, Graeme Aitken on Tariffs

    Statement by ECAO Executive Director, Graeme Aitken on Tariffs

    February 7, 2025 ECAO posted the following statement from Executive Director, Graeme Aitken on their website regarding potential U.S. Tariffs: For almost 80 years, the Electrical Contractors’ Association of Ontario (ECAO) has served and represented the interests of Ontario’s industry-leading, unionized electrical contractors. Over those many decades, ECAO has stepped up during times of challenge… Read More…

  • Rigid PVC Conduit vs. ENT in High-Rise and Multi-Use Applications

    Rigid PVC Conduit vs. ENT in High-Rise and Multi-Use Applications

    February 7, 2025 By Phil Crangi Choosing the right high-rise construction conduit can significantly impact project efficiency and costs. While rigid PVC (Polyvinyl Chloride) conduit may have a lower upfront cost, ENT (Electrical Nonmetallic Tubing) offers more significant advantages due to its long-term labor savings and installation efficiency. ENT and fittings form an integrated system… Read More…

  • EFC Tariff Response: Advocating for Free Trade

    EFC Tariff Response: Advocating for Free Trade

    February 7, 2025 STATEMENT FROM CAROL MCGLOGAN, PRESIDENT & CEO, ELECTRO-FEDERATION CANADA ON U.S. TARIFFS Electro-Federation Canada (EFC), representing Canada’s electrical and automation industry, strongly opposes the recent tariffs announced (an subsequently delayed) by President Trump on Canadian imports. These tariffs threaten to disrupt North American supply chains, increase costs for businesses and consumers, and… Read More…


Changing Scene