The value of building permits rose 20.9% to $6.4 billion in May, following a 21.5% decline in April. Figures released this morning by Statistics Canada also revealed that higher construction intentions, particularly for commercial buildings in Quebec and Alberta and multi-family dwellings in Ontario, were behind the advance.
Following two consecutive monthly declines, permits in the non-residential sector rose 50.9% to $2.7 billion. This gain came mainly from higher construction intentions in the commercial component in Quebec, Alberta and Ontario.
The value of permits in the residential sector increased 5.3% to $3.7 billion in May, following a 12.1% decline in April. The increase occurred largely as a result of advances in the value of multi-family dwellings in Quebec and Ontario.
The total value of building permits increased in every province except Nova Scotia.
Building construction intentions increased in every component of the non-residential sector in May.
The value of commercial building permits increased 81.0% to $1.9 billion, the highest level since May 2008. The increase followed two consecutive monthly declines, and was the result of higher construction intentions among many types of buildings in many provinces, including retail outlets, office buildings, laboratories, hotels and restaurants.
The industrial component increased 22.5% to $343 million, following two consecutive monthly declines. Alberta and Ontario registered the largest gains with higher construction intentions in manufacturing plants. The largest decreases occurred in Quebec for utility buildings, where intentions had recorded large gains in April.
