Residential Sector Leads Construction Gains

Total investment in building construction increased 5.9 per cent to $18.6 billion in March, led by the residential sector, says Statistics Canada. On a constant dollar basis, investment was up 5.2 per cent to $14.3 billion. Residential construction investment increased for the 11th consecutive month, up 7.6 per cent to $14 billion, with investment in single units up 10.7 per cent to $7.8 billion. Quebec led the way with an increase of 30.4 per cent, bringing investment in single homes to $1.9 billion for the province. Investment in Ontario was up 9.8 per cent to $3.3 billion, driven by renovations to single family homes in the census metropolitan area of Toronto. Growth in multi-unit construction continued, up 3.9 per cent to $6.2 billion. Gains in Quebec and Ontario led the overall increase in this component, as six provinces reported declines. Non-residential construction investment rose 1.1 per cent to $4.6 billion in March, with all components posting slight increases. Despite this gain, the commercial and industrial investment components were below pre-COVID-19 pandemic levels. Institutional construction investment was up 2.2 per cent to $1.2 billion and commercial building construction rose 0.8 per cent to $2.6 billion.