According to a report released by Statistics Canada Thursday, the total value of building permits issued by Canadian municipalities rose 8.5 percent to $7.0 billion in January, following a 4.8 percent decrease in December. The increase in January came from higher construction intentions in the residential sector, which more than offset a decline in the non-residential sector.
Gains were posted in every province in January, except Quebec. Alberta, British Columbia and Ontario registered the largest increases.
After two consecutive monthly decreases, construction intentions for residential dwellings rose 26.3 percent to $4.6 billion. All 10 provinces posted gains, led by Quebec, Alberta, Ontario and British Columbia.
In the non-residential sector, the value of permits fell 14.6 percent to $2.4 billion, following a 5.4 percent increase in December. Decreases in Quebec and, to a much lesser extent, New Brunswick offset the gains posted in the remaining provinces.
Construction intentions for multi-family dwellings rose 42.8 percent to $2.1 billion in January, following a 21.9 percent decrease in the previous month. Advances were posted in nine provinces, with Quebec, Alberta and British Columbia accounting for most of the gain. Saskatchewan was the only province to register a decrease.
The value of non-residential building permits was down in January. An increase in construction intentions for commercial buildings was not enough to offset declines in the institutional and industrial components.
Construction intentions for institutional buildings fell 41.8 percent to $574 million, after a 182.9 percent increase the previous month. This decline was mainly attributable to medical facilities in Quebec. Increases posted in eight provinces were not enough to offset the declines in Quebec, which had recorded a significant advance in December.
The value of permits for industrial buildings decreased 24.7 percent to $373 million, following a 13.9 percent increase the previous month. Decreases were seen in six provinces, led by Ontario, where the decline was largely attributable to lower construction intentions for manufacturing plants.