Building permit values ended the year on a high note, increasing by 11% in December to reach $13.1 billion for the month. The increase was led by 21.2% growth in the residential sector, largely due to gains in Ontario and British Columbia.

The total value of residential permits increased by $1.6 billion to $9.0 billion in December. Multi-unit construction intentions (+$1.5 billion) contributed the most to the gain, posting a 33.3% increase from the previous month.

Construction intentions for single-family homes, meanwhile, were up 1.8% (+$52.1 million) to $2.9 billion in December, recording gains across six provinces and two territories. British Columbia (+$29.3 million) led the rise, followed by Ontario (+$28.5 million) and Manitoba (+$27.8 million).

In contrast, the total value of non-residential permits fell 5.9% (-$262.2 million) to $4.2 billion in December, marking the third monthly decrease in a row. Declines in the commercial (-$221.1 million) and institutional (-$167.6 million) components more than offset a gain in the industrial component (+$126.5 million).

Seven provinces and one territory saw non-residential construction permit values fall in December. Quebec (-$269.1 million) led the drop, as an increase in its institutional component (+$107.2 million) was more than offset by decreases in its industrial (-$278.8 million) and commercial (-$97.6 million) components.

In contrast, Ontario's non-residential sector posted a $98.4 million gain in December, driven by its industrial component (+$315.8 million). Meanwhile, both Ontario's institutional (-$181.9 million) and commercial (-$35.5 million) components decreased.

On a constant dollar basis (2017=100), the total value of building permits increased 3.7% in 2024, bringing it to the second-lowest annual level since 2017. The constant dollar growth reflects a declining trend in the real value of single-family building permits, which tempered the upward trend in real value of multi-family and non-residential permits.

The residential sector increased by $3.1 billion (+6.3%) to $52.5 billion in 2024, marking the second-lowest level in the series, following the record low of $49.3 billion in 2023. The relatively low level seen in 2024 is due to single-family construction intentions falling 30.9% (-$8.3 billion) from an average total value of $27.0 billion from 2017 to 2022 to an average of $18.6 billion from 2023 to 2024.

Conversely, the multi-family component increased by $3.7 billion (12.2%) to $34.1 billion in 2024, the second-highest level in the series.

Meanwhile, the number of units authorized for construction increased by 24,100 to 287,100 in 2024, the second-highest level in the series, driven by the growth of multi-family units (+22,900).

The total value of non-residential building permits issued experienced a fourth consecutive annual increase, rising by $59.5 million (+0.2%) to $36.6 billion in 2024, with Ontario (+$1.6 billion) leading the growth.

Commercial construction intentions (+$190.7 million) partially rebounded in 2024 after decreasing in 2023 to the second-lowest value on record. The industrial component (+$182.4 million) grew to a series high in 2024, after steadily regaining momentum following the sharp decline in 2020. In 2024, institutional permit values (-$313.6 million) declined but remained strong, sitting at the second-highest level in the series.

In 2024, as in 2023, gains in industrial construction intentions were driven by manufacturing, processing and assembly plants. Specifically, there was growth in permits to develop the battery plant supply chain in 2024, with notable projects being in St. Thomas, Ontario; Windsor, Ontario, and Bécancour, Quebec. Developing vehicle battery manufacturing has been supported by the federal and provincial (Ontario and Quebec) governments' goals to build Canada's electric vehicle supply chain.