Statistics Canada reports that the total national value of building permits fell 1.5% in June to $11.9 billion. The drop was mainly attributed to the non-residential sector, which fell 10.4% to $3.7 billion per month after posting its second-highest monthly value on record.
The value of business permits fell 2.7%. The drop was attributed to falling values in eight provinces, which was enough to outpace a notable increase in Ontario, where a permit for a large office building in the city of Toronto sent the province jumping 37.5% .
Construction intentions in the institutional component fell 32.2%, largely due to strong growth in May following the issuance of a major hospital permit in British Columbia that month.
A bright spot in the June numbers came from the industrial segment, where the value of permits rose 0.6%. A new power plant in Moose Jaw, Saskatchewan saw that province’s numbers jump 206%, helping to bring the national figure north of the level.
In the residential sector, permits rose 3.1% in June to $8.2 billion nationally. The multi-family segment rose 6.5%, with Ontario leading the way with its 24.8% increase, thanks to the construction of several apartment buildings in Mississauga. Overall, 15 of the top 20 permits submitted across all sectors were for apartment or condominium buildings.
The single-family home component fell 0.6% as sharp declines in Manitoba and Newfoundland and Labrador were not offset by weak gains in Ontario.
In the second quarter of 2022, the total value of building permits rose 2.8% from the previous quarter to $35.9 billion, with gains in both the residential and non-residential sectors. The residential sector rose 7.2% this quarter, with gains in the value of single-family and multi-family permits.
The non-residential sector saw a decline of around 5% in Q2, after a strong first quarter. A more than 20% decline in the institutional component dragged the sector lower as the quarter failed to match the two large hospital permits issued in the first quarter. Commercial permits fell less than 1% and industrial permits posted gains of 11.4%.