According to Statistics Canada, investment in non-residential building construction totaled $12.4 billion in the second quarter, up 0.3 percent from the previous quarter. This increase follows three consecutive declines. Nationally, the gain was the result of an increase in spending on the construction of industrial and commercial buildings. The institutional component declined for a second consecutive quarter.
Investment in industrial projects increased 1.7 percent to $1.75 billion in the second quarter. At the national level, the increase was attributable to higher investment in the construction of plants for manufacturing and, to a lesser extent, construction of farm buildings and utilities buildings.
Increases were reported in six provinces, with Ontario contributing the most to the overall increase, followed by Alberta.
Spending on commercial buildings increased by 0.4 percent to $7.2 billion in the second quarter, led by office building and retail building construction. Investment in commercial projects rose in six provinces, with Ontario posting the largest gain. The growth in Ontario was mainly the result of increased investment in office and recreational buildings.
In the institutional component, investment fell 0.7 percent to $3.4 billion in the second quarter. The national decrease was due to a decline in most institutional building types, which more than offset increased spending on educational buildings. Declines in investment in institutional projects were recorded in five provinces, with Alberta posting the largest drop.