Building construction investment drops 4% in July
Investment in building construction stepped back in July, as a slight gain in the non-residential sector failed to offset a fifth consecutive losing month in the housing market.
New data from Statistics Canada finds investment in residential building construction down 4.1% to $11.5 billion in July, with declines seen in eight provinces.
Single-family home construction investment declined 5.5% to $5.8 billion, the lowest level since August 2020, with Ontario accounting for most of the fall. Meanwhile, multi-unit construction investment was down 2.8% to $5.7 billion – the ninth consecutive monthly decrease.
Conversely, investment in non-residential construction was up slightly, increasing 0.5% to $5.9 billion in July. Notable gains in British Columbia, Alberta and Saskatchewan offset declines in six provinces.
After two consecutive monthly decreases, investment in the industrial component increased 0.6% to $1.2 billion, while commercial investment edged up 0.3% to $3.3 billion. Institutional construction investment rose by 1.2% to $1.5 billion. A new hospital project in Dawson Creek contributed to notable gains in British Columbia.