Statistics Canada’s latest data reveals that the total investment in building construction rose 5.0 percent to $16.0 billion in August.

The increase was largely due to a strong performance in the residential sector. Investment there increased 8.2 percent to $10.8 billion, and exceeded pre-COVID levels for the first time since February. Non-residential sector investment, meanwhile, decreased 1.2 percent to $5.2 billion.

As construction companies pushed to catch up on work delayed earlier in the spring, August saw construction investment reach a record high. However, on a year-to-date basis total investment was 3.7 percent lower than for the same period in 2019.

Investment in residential construction rose for the fourth consecutive month in August—by 8.2 percent to $10.8 billion. Single-unit investment rose 5.4 percent to $5.4 billion, while multi-unit investment was up 11.2 percent to $5.4 billion. Multi-unit investment gains were reported in nine provinces, led by Alberta (+42.4 percent) and Quebec (+15.8 percent). Ontario’s sector rose by 3.2 percent.

Non-residential investment, meanwhile, declined 1.2 percent to $5.2 billion in August, with decreases reported in all three components. Declines were posted in seven provinces, with the largest decline recorded in Quebec. Despite these declines, August levels remain higher than February 2020 pre-COVID levels for all components except industrial investment.

Nationally, the industrial component was down 1.4 percent to $895 million in August, with declines reported in seven provinces, including Ontario where investment dropped by

2.3 percent. Investment in the commercial component was down 1.5 percent to $3.1 billion in August. Gains in Newfoundland and Labrador (+12.2 percent) and Prince Edward Island (+8.3 percent) were outweighed by declines in the eight remaining provinces. Ontario’s commercial sector was nearly unchanged.

Finally, institutional investment dropped 0.5 percent to $1.2 billion. The majority of the declines were reported in Ontario and Quebec, more than offsetting gains in Alberta, Nova Scotia and New Brunswick.