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Non-residential and residential sectors see increase in building construction investment, March 2024

May 21, 2024 | By Anthony Capkun



May 21, 2024 – Investment in building construction increased 4.5% to $20.4 billion in March 2024, reports Statistics Canada.

Investment in the non-residential sector increased 2.3% to $6.1 billion in March, with all three components posting gains.

Industrial investment rose 3.1% to $1.3 billion, and investment in the commercial component rebounded (+2.0% to $3.0 billion) after eight consecutive months of declines. Much of the increase was due to Ontario (+3.6%, +$43.8 million).

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Notably, investment in the institutional component grew 2.1% to reach $1.8 billion in March—a record high, says Statistics Canada. This increase was the ninth monthly increase in a row.

Investment in residential building construction rose 5.4% to $14.3 billion in March, with increases recorded in seven provinces, and Ontario (+6.5% +$344.2 million) and Quebec (+9.2%, +$232.1 million) leading the way.

Nationally, investment in detached single-family homes grew 6.5% to $7.3 billion in March, up for the eighth consecutive month.

Multi-unit investment was up 4.4% to $7.0 billion. Gains in Ontario (+7.2%, +$190.6 million) and British Columbia (+9.4%, +$129.1 million) were slowed by smaller declines in five other provinces, such as Alberta (-2.2%, -$19.4 million) and Manitoba (-6.5%, -$12.7 million).

Q1 2024 summary

Investment in building construction rose for the third straight quarter, increasing 1.0% to $59.7 billion in the first quarter of 2024.

Investment in residential building construction permits increased 1.4% to $41.6 billion. Gains in the single-family homes component (+6.2%, +$1.2 billion) more than offset declines in the multi-unit component (-3.0%, -$647.8 million).

Investment in the non-residential sector edged up 0.2% to $18.1 billion in the first quarter. Growth in the institutional component (+7.2%, +$350.8 million) and industrial component (+2.0%, +$76.5 million) were dragged down by the commercial component (-4.1%, -$389.9 million). Overall, 11 provinces and territories reported a decrease in commercial construction intentions.


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