Canadian Investment in Building Construction Declines in July

Statistics Canada (StatCan) reported on Monday (9-18-23) that investment in Canadian building construction fell 2.6% to $17.5 billion (CAD) in July. On a constant dollar basis (2012=100), investment in building construction declined by 2.5% to $10.0 billion.

Investment in residential building construction declined 4.1% to $11.5 billion in July, with declines reported in 8 of the 10 provinces. Single-family home construction investment decreased 5.5% to $5.8 billion, the lowest level since August 2020. Multi-unit construction investment was down 2.8% to $5.7 billion, marking the ninth consecutive monthly decline.

Investment in non-residential construction rose slightly in July, increasing 0.5% to $5.9 billion. While six provinces posted declines, increases were reported in Alberta, BC, and Saskatchewan, which helped offset losses elsewhere. Investment in the industrial component increased 0.6% to $1.2 billion, following two consecutive monthly declines. Commercial investment inched 0.3% higher to $3.3 billion. Institutional construction investment rose 1.2% to $1.5 billion thanks in part to a new hospital project being built in BC.