Building construction investment down slightly in May
July 19, 2023 | By HPAC Magazine
Investment in residential construction has been trending down nationally while non-residential growth has stalled.
The latest release from Statistics Canada reveals that month-over-month investment in building construction declined 1.2% to $19.9 billion in May, showing that the residential sector continues to fall while the non-residential sector, although stable, is no longer growing like it was.
Residential investment continues to fall
The monthly change shows that investment in residential building construction decreased 1.7% in May. The decline in May brought Alberta down to its lowest level since December 2020—the province’s ninth consecutive monthly decrease.
Nationally, single family home investment fell 2.9% in May 2023 with seven provinces posting declines.
Multi-unit construction was almost even, dropping 0.3% to $6.7 billion, with Quebec (-5%) continuing to decline since its peak in May 2022
Non-residential sector breaks growth streak
Investment in non-residential construction was largely unchanged at $5.9 billion in May, following consistent and robust growth since June 2022.
Investment in industrial construction was down 0.4%, commercial construction investment was down 0.2%, and the institutional sector was up 0.6%, with Ontario (+2.9%) leading the gains in that category.
