June 9, 2008

British Columbia and Alberta take the lead in residential construction spending

British Columbia and Alberta led the country in residential construction investment in first-quarter 2008.

The total value of residential construction in Canada reached $19.8 billion in the first quarter of 2008, which is an increase of 7.5 per cent compared with the first quarter of 2007, according to a report released by Statistics Canada last week. The biggest increase (in dollars) in residential investment occurred in British Columbia, where it jumped by 21.2 per cent to $4.0 billion. Alberta increased by 9.1 per cent to $3.5 billion.

“The favourable job situation, growth in disposable income, flexible financing options and the strength of the economy in Western Canada continued to support the demand for housing, said the Statsistics Canada report.

In Canada, new housing investment increased by 8.8 per cent, compared with the first quarter of 2007 to $9.7 billion. Spending on apartments increased 17.5 per cent to $2.6 billion. Construction spending on single-family housing rose by 3.7 per cent to $5.6 billion

Renovation spending increased 7.2 per cent compared with the first quarter of 2007 to $8.4 billion.

Renovation spending represented 42.4 per cent of total residential construction investments.

Print | Comment