Momentum from construction intentions remains strong, Statistics Canada reports
Investment in residential construction increased for the fourth straight month to reach $14.1 billion in January, according to Statistics Canada.
The 4.1% quarterly gain stemmed from elevated levels of construction intentions during the fourth quarter of 2021, StatCan said.
The single-family segment saw a 2.5% increase in investment to reach $7.6 billion. Accelerated activity in Quebec and British Columbia accounted for much of the national gain, StatCan reported.
Multi-unit construction investment had a stronger proportional increase at 6% to end up at $6.5 billion. Of Canada’s provincial markets, Saskatchewan was the only one to post a decrease due to a combination of maturing projects and a lower level of new permits, StatCan said.
Meanwhile, commercial investment saw its seventh consecutive monthly increase, with a 1.8% gain pushing the total to $2.8 billion in January. This was impelled by Ontario (up 2.2%) and British Columbia (up 5%).
“The commercial component showed sustained growth over the past few months, particularly for office buildings and warehouses,” StatCan said. “Investment in the institutional component advanced 0.6% to $1.4 billion in January. Quebec (+3.1%) posted the largest gain, helping to offset declines reported in seven provinces.”
Overall non-residential construction investment grew by 1.5% to reach $5 billion in January. Total investment in building construction across all asset classes increased by 3.4% to $19.1 billion, having posted steady increases since October 2021.