Value of Canadian building permits edges up in July

According to Statistics Canada, municipalities issued building permits worth $6.5 billion in July, up 0.8 percent from the previous month. The advance was largely the result of higher construction intentions for institutional and industrial buildings.

 

In the non-residential sector, the value of building permits advanced 5.6 percent to $2.4 billion. The gain followed two consecutive months of declines. The value of residential building permits was down 2.0 percent to $4.0 billion in July, the fourth consecutive monthly decrease.

 

In July, all three non-residential components posted higher construction intentions, with institutional structures leading the advance, followed by industrial buildings.

 

The value of permits for institutional buildings rose 9.6 percent to $740 million in July, the third increase in four months. The advance was largely the result of higher construction intentions for medical facilities and, to a lesser extent, retirement residences.

 

In the industrial component, the value of permits advanced 17.1 percent to $418 million, following five consecutive monthly declines. The increase stemmed from higher construction intentions for transportation terminals and, to a lesser degree, maintenance-related buildings.

 

The value of commercial building permits edged up 0.3 percent to $1.3 billion in July. Higher construction intentions for office buildings and retail complexes were mostly responsible for the gain.
 
In the residential section, the value of permits for single-family dwellings declined 3.0 percent to $2.4 billion in July, following a 4.8 percent increase in June. Construction intentions for multi-family dwellings edged down 0.4 percent to $1.7 billion in July, the fifth decline since the beginning of 2016.