Statistics Canada released it’s latest building permit numbers (March 2014), considered an indicator of future activity.
Overall dollar values declined 3% to $500.0 million (seasonally adjusted) in March 2014 compared to $516.0 million in February.
- Industrial permits spiked 427% to $22.3 million.
- Institutional-government permits increased 78% to $50.8 million from $28.6 million.
- Commercial permits declined 50% to $86.0 million.
Residential building permit values increased 10% to $340.9 million.
“Residential building permits have increased 10% and we expect sales to increase as well in the coming months,” said Andrew Peck, vice-president and general manager, Royal Pacific Realty Group.
Both industrial and institutional-government permits significantly increased.
Commercial permits in Metro Vancouver will receive a boost when the Tsawwassen First Nation/Ivanhoe Cambridge Tsawwassen Mills shopping Mall project in Delta, due to open in 2016 and the Sea Island luxury retail outlet at YVR , due to open Spring 2015, are issued.
The Tsawwassen project is expected to employ up to 4,800 workers from surrounding communities – good news for our economy.
Project specific investment will be the norm for some time because a market-wide investment surge is not expected until the local economy is in a sustained stronger growth phase – probably not until 2016.