Quebec leads Canada in residential building construction investment, June 2024

August 19, 2024 – After a slight increase of 0.8% in May, Statistics Canada reports investment in building construction rose 2.8% to $21.4 billion in June.

These increases partly reflect April’s record-high of $13.4 billion in total building permit value (investment levels for a given period are driven by permits issued in prior months, adds Statistics Canada).

The June increase in investment in building construction was primarily driven by the residential sector (+3.8% to $15.0 billion), while gains in the non-residential sector (+0.4% to $6.4 billion) were modest.

Year-over-year, investment in building construction rose 10.0% in June, following a 7.0% increase in May.

Investment in residential building construction rose 3.8% (+$546.7 million) to $15.0 billion in June. Monthly increases were recorded in nine provinces and two territories, with Quebec (+$265.0 million to $3.3 billion) leading the national gains for the second month in a row.

Ontario (+$73.2 million to $5.6 billion), British Columbia (+$58.9 million to $2.5 billion), and Manitoba (+$47.8 million to $0.5 billion) also recorded an increase in residential construction, while Nova Scotia was the only province to post a decrease (-$1.2 million to $468.0 million).

Overall, investment in multi-unit construction grew 6.0% (+$454.7 million) to $8.1 billion in June, driven by Quebec (+$247.6 million to $1.8 billion) and Ontario (+$134.7 million to $2.9 billion).

Single-family home investment was up 1.4% to $6.9 billion in June, following two consecutive monthly declines.

Investment in non-residential construction edged up 0.4% (+$26.3 million) to $6.4 billion in June.

Recapping second quarter of 2024

Investment in building construction was $62.8 billion in Q2 2024, up 0.4% from the previous quarter, and marking the fourth quarterly increase in a row.

Year-over-year, investment in building construction grew 7.2% in the second quarter.

Investment in residential building construction increased slightly by 0.4% to $43.7 billion. Gains in the multi-unit component (+5.1%, +$1.1 billion) were tempered by declines in the single-family home component (-4.3%, -$923.1 million).

Investment in the non-residential sector edged up 0.3% to $19.1 billion in Q2, the 14th consecutive quarterly gain for the sector in Canada.

An increase in the institutional component (+1.9% to $5.4 billion) was moderated by declines in both the industrial (-0.6% to $4.1 billion) and commercial (-0.2% to $9.6 billion) components.