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StatsCan building permits report: October 2014

Dec. 11, 2014 – The total value of building permits was $7.5 billion in October, edging
up 0.7% from September. The increase came mainly from higher
construction intentions in British Columbia, Alberta and Saskatchewan.

The value of non-residential building permits increased 2.4% from the
previous month to $3.1 billion in October. Gains were posted in five
provinces, led by British Columbia, followed by Quebec, a distant
second. Yukon also posted a noticeable increase in October. Ontario
registered the largest decrease, following a notable increase in
September.

In the residential sector, the value of permits edged down 0.4% to
$4.5 billion in October, following a 7.4% increase in September.
Residential construction intentions fell in five provinces, with Quebec
and Ontario accounting for most of the decline at the national level.
Alberta and Nova Scotia posted the largest increases.

Non-residential sector: Higher construction intentions for industrial and institutional buildings

In October, construction intentions in the industrial component
rose 34.4% to $614 million, following a 4.4% increase in September. This
increase was the result of higher construction intentions for utilities
buildings and manufacturing plants. The advance was observed in five
provinces, led by Ontario, followed by Saskatchewan. Manitoba registered
the largest decrease.

The value of building permits in the institutional component was
up 6.2% to $909 million in October, following an 88.2% increase a month
earlier. The October advance was the result of higher construction
intentions for medical facilities in British Columbia as well as nursing
homes and retirement residences in several provinces. Intentions rose
in four provinces, led by British Columbia. In contrast, Ontario
recorded the largest decrease, following a notable increase in the
previous month.

In the commercial component, the value of permits fell 8.1% to
$1.5 billion in October, following a 6.2% advance the previous month.
This was the lowest level since April of this year. The decline came
from lower construction intentions in a variety of commercial buildings
at the national level, including office buildings, recreational
facilities, retail and wholesale outlets, retail complexes and service
stations. Decreases were posted in four provinces, with Ontario posting
the largest decline. British Columbia posted the biggest gain.

Residential sector: Decline in construction intentions for multi-family dwellings

Canadian municipalities issued $2.0 billion worth of building permits
for multi-family dwellings in October, 0.9% less than in September.
This decrease was largely the result of lower construction intentions in
six provinces, with Quebec registering the largest decline. Nova Scotia
posted the largest gain, followed by Alberta and Saskatchewan.

In October, the value of building permits for single-family dwellings
was $2.4 billion, the same level as in September. Gains were posted in
six provinces, led by Manitoba, Alberta and British Columbia, while
Ontario registered the largest decrease.

At the national level, Canadian municipalities approved the
construction of 18,354 new dwellings, down 0.6% from the previous month.
The decline was attributable to a 0.9% decrease in the number of
multi-family dwellings to 11,948 units and a 0.2% decline in the number
of single-family dwellings to 6,406 units.

Provinces: Large increase in British Columbia

The total value of permits increased in four provinces in October,
led by British Columbia, followed by Alberta and Saskatchewan.

British Columbia's gain was primarily attributable to higher
construction intentions for institutional and commercial buildings. In
Alberta, all components, except institutional buildings, were
responsible for the increase, while in Saskatchewan, the advance was the
result of higher construction intentions for multi-family dwellings and
industrial buildings.

After posting a 38.0% gain in September, Ontario posted the largest
decline in October. This decrease was due primarily to lower
construction intentions for commercial and institutional buildings,
following large increases in both components a month earlier. Manitoba
was a distant second, with a decrease in construction intentions for
non-residential buildings.

Higher construction intentions in most census metropolitan areas

In October, the total value of permits was up in 19 of the 34 census
metropolitan areas, led by Vancouver, followed by Edmonton and
Kitchener–Cambridge–Waterloo.

The gain in Vancouver was largely attributable to higher construction
intentions for institutional and commercial buildings. In Edmonton,
commercial buildings contributed the most to the increase, while in
Kitchener–Cambridge–Waterloo, the advance came from multi-family
dwellings.

Toronto had the largest decline, followed by Ottawa and Québec.
Following the strong gain in September, the value of building permits
issued in Toronto decreased as a result of lower construction intentions
for commercial and institutional buildings. The decline in Ottawa was
primarily the result of lower construction intentions for both
multi-family and single-family dwellings, which had posted sharp gains
the previous month. In Québec, the decrease came from multi-family
dwellings and non-residential buildings.