In March 2024, Canada’s investment in building construction saw a notable increase, rising 4.5% to reach $20.4 billion, according to Statistics Canada. This growth was driven by gains in both the residential and non-residential sectors, highlighting a robust development period across the country.
The residential construction sector experienced a significant boost, with investment climbing 5.4% to $14.3 billion in March. Ontario and Quebec led this surge, posting increases of 6.5% and 9.2% respectively. The national investment in detached single-family homes rose 6.5% to $7.3 billion, marking the eighth consecutive month of growth in this category. Multi-unit residential investment also increased, up 4.4% to $7.0 billion, with notable gains in Ontario and British Columbia. However, these gains were partially offset by declines in provinces such as Alberta and Manitoba.
Investment in the non-residential sector rose 2.3% to $6.1 billion in March, with all three components—industrial, commercial, and institutional—posting gains. Industrial investment saw a 3.1% increase, reaching $1.3 billion. The commercial sector, which had experienced eight consecutive months of decline, rebounded with a 2.0% increase to $3.0 billion, driven largely by growth in Ontario. Institutional investment grew by 2.1%, hitting a record high of $1.8 billion, marking the ninth consecutive month of growth in this segment.
For the first quarter of 2024, total investment in building construction rose for the third consecutive quarter, increasing by 1.0% to $59.7 billion. Residential construction permits saw a 1.4% rise to $41.6 billion. The single-family homes component surged by 6.2%, offsetting a 3.0% decline in the multi-unit segment.
The non-residential sector’s investment edged up by 0.2% to $18.1 billion during the first quarter. Growth in the institutional component (+7.2%) and the industrial component (+2.0%) was tempered by a decline in the commercial component, which fell by 4.1%. The commercial construction downturn was widespread, with 11 provinces and territories reporting decreased construction intentions.
Ontario and Quebec emerged as significant contributors to the residential sector’s growth. In Ontario, investment in single-family homes and multi-unit residential buildings increased by 7.2% and 6.5%, respectively. Quebec followed with a notable 9.2% rise in residential construction investment. British Columbia also saw a substantial 9.4% increase in multi-unit residential investment.
On the non-residential side, Ontario’s investment growth was a standout, particularly in the commercial sector, which saw a 3.6% rise. The industrial and institutional sectors also contributed to the overall increase, showcasing a balanced growth across different types of non-residential construction.