Real estate construction industry stays hot
Reuters
Canada’s red-hot construction sector showed little sign of slowing in June with the value of building permits slipping only 0.4% from a peak in May to the second-highest level on record, Statistics Canada said today.
Analysts had expected permits to retreat by 9.8% in June after double-digit growth the previous month had taken them by surprise. StatsCan revised upward the May increase to 23.2% from the 21.4% reported last month.
“The back-to-back performances point to very busy construction sites in the coming months,” StatsCan said in its report.
Unlike May, however, builders’ intentions focused on the residential sector, where the value of permits jumped 7.4% as approvals for single-family units hit a record high and multi-family units resumed their upward climb. Strong housing growth in the provinces of Alberta and Ontario outweighed declines in seven provinces.
Non-residential permits tumbled 10% after soaring in May due to strong demand for office space in Calgary, Alberta, but still held at their second-highest level ever. Excluding Alberta, non-residential permits would have risen 13.4% in June.
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