Value of Building Permits Slumped 2.1% in August

The total value of Canadian building permits was down 2.1% in August, as residential permits continued to descend from their March highs.

Construction intentions across Canada fell to $9.7 billion in August, as both Ontario and British Columbia reported notable declines despite the remainder of provinces posting increases.

The residential sector saw the value of permits slump 8.3% to $6.4 billion in August, marking the lowest level since March, with Ontario and British Columbia contributing the most to the decrease. Building intentions for multi-family units were also down during the month, falling 15.9%, while the value of single-family construction permits jumped 15.7%, largely led by significant gains in Quebec.

In the meantime, non-residential building permits were 12.3% higher compared to July, and stood at $3.3 billion. Commercial intentions rose 14.9% across the country, largely due to strong growth in Ontario. The value of institutional building permits were also up in August, increasing 21.9%, as a $116 million permit was issued in Quebec for the construction of a hospital building. Development intentions in the industrial sector fell 7.3% to $543 million with Nova Scotia reporting the most significant decline.

Information for this briefing was found via Statistics Canada. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.