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Investment in Building Construction Activity, July 2023 – Not Encouraging

Investment in building construction declined 2.6% to $17.5 billion in July. The residential sector decreased 4.1% to $11.5 billion, while the non-residential sector was up 0.5% to $5.9 billion.

On a constant dollar basis (2012=100), investment in building construction decreased by 2.5% to $10.0 billion.

Investment in building construction, July 2023

Chart 1  Chart 1: Investment in building construction, seasonally adjusted
Investment in building construction, seasonally adjusted

Residential investment declines for the fifth straight month

Investment in residential building construction fell 4.1% to $11.5 billion in July, with declines seen in eight provinces.

Investment in Building Construction Activity, July 2023 - Not Encouraging

Single-family home construction investment declined 5.5% to $5.8 billion, the lowest level since August 2020, with Ontario accounting for most of the fall.

Multi-unit construction investment was down 2.8% to $5.7 billion in July 2023, the ninth consecutive monthly decrease.

Infographic 1  Thumbnail for Infographic 1: Investment in residential building construction, July 2023
Investment in residential building construction, July 2023

Chart 2  Chart 2: Investment in residential building construction, seasonally adjusted
Investment in residential building construction, seasonally adjusted

Institutional investment leads to growth in the non-residential sector

Investment in non-residential construction was up slightly, increasing 0.5% to $5.9 billion in July. Notable gains in British Columbia, Alberta and Saskatchewan offset six provinces’ decline.