Q1 Investment in Residential Construction Up 8.0% YOY

Economy Rescon

June 18, 2018

Investment in residential construction increased by 8.0% to $30.5 billion in the first quarter of 2018 compared with the same quarter in 2017.

Investment in residential construction increased by 8.0% to $30.5 billion in the first quarter of 2018 compared with the same quarter in 2017. All components, with the exception of mobile homes, contributed to the quarterly year-over-year increase in spending on residential construction. The growth was led by spending on apartment buildings, which accounted for 39.5% of the total increase (+$890.8 million or +21.5%), followed by investment in renovations (+$677.9 million or +5.5%).

British Columbia posted the biggest gains in spending on residential construction (+$859.8 million or +16.2%), followed by Quebec (+$691.4 million or +14.9%). Apartment building construction spending contributed significantly to the growth in both Quebec (+$492.6 million) and British Columbia (+$199.0 million). Additionally, investment in acquisition costs drove the growth in British Columbia (+$253.2 million).

Saskatchewan was the only province to post a quarterly year-over-year decline (-$19.6 million or -2.7%), mainly due to reduced spending on single home construction, down $34.3 million compared with the previous year. 

Apartment building construction investment posted gains in nine provinces, led by Quebec, where spending was up 55.8% (+$492.6 million). For this province, this marked the largest year-over-year increase since the current series began in 1996. Alberta was the only province to report a drop in spending on apartment building construction, down $4.7 million compared with the first quarter of 2017. 

Spending on renovations increased for all provinces (+$677.9 million or + 5.5%), led by Ontario (+$239.6 million) and Quebec (+$169.2 million). Among the Atlantic provinces, Nova Scotia (+$11.3 million) and New Brunswick (+$10.2 million) posted the largest gains for this component. In Western Canada, investment on renovations was led by British Columbia (+$123.8 million), Alberta (+$55.3 million) and Manitoba (+$37.7 million). 

Investment on single homes posted its lowest year-over-year rise (+$40.3 million or +0.6%) since the fourth quarter of 2015. The increase in this component was led by British Columbia (+$173.6 million) and Alberta (+$142.2 million).

Source: Statistics Canada, www150.statcan.gc.ca/n1/daily-quotidien/180601/dq180601c-eng.htm

Related Articles

Changing Scene

  • Landscape Ontario, Electrical Safety Authority Partner to Promote Electrical Safety in Landscape Trades

    Landscape Ontario, Electrical Safety Authority Partner to Promote Electrical Safety in Landscape Trades

    Landscape Ontario Horticultural Trades Association (Landscape Ontario) and the Electrical Safety Authority (ESA) have partnered to improve electrical safety awareness and compliance across Ontario’s landscape and horticultural industry. The partnership focuses on supporting safe work around electrical infrastructure, including overhead powerlines and underground systems, and providing clarity and guidance on the application of the Ontario… Read More…

  • Appointment of Salvador Lamas as Mersen’s New Chief Executive Officer

    Appointment of Salvador Lamas as Mersen’s New Chief Executive Officer

    Mersen has recently announced a change in its governance with the appointment of Salvador Lamas as Chief Executive Officer, effective immediately, succeeding Luc Themelin. At the May 12th meeting, the Board of Directors also elected Luc Themelin as non-executive Chairman of the Board for the remainder of his term. This change is part of the governance… Read More…

Peers & Profiles

Copper US Dollar Price Per Pound