Economic Indicators: Residential Permits Rise, Commercial Permit Values Drop – 2012 Down 35%

By January 10, 2013Economic Indicators

Submitted. Building permit values in Abbotsford climbed 46 per cent in November 2012 from October 2012, led by a sizeable gain in residential permits, while non-residential permits saw a drop, according to Vancouver Regional Construction Association’s analysis of Statistics Canada Building Permit Report.

Total permit values for 2012 were 35 per cent lower to $168.8 million in the first eleven months of 2012 compared to $258 million in the same period last year.

Seasonally adjusted total building permit values in Abbotsford rose in November to $8.5 million from $5.8 million in October 2012. Total permit values year-to-date were 35 per cent lower to $168.8 million in the first eleven months of 2012 compared to $258 million in the same period last year.

“Permits in Abbotsford remained low in November, although the residential sector is generating a modest level of activity,” says Keith Sashaw, president of the Vancouver Regional Construction Association. “As expected, fewer total permits will be issued in 2012 mainly because one large commercial project boosted the 2011 figure in Abbotsford, and further economic growth will be needed in the coming year to stimulate higher investment in non-residential and residential buildings.”

Non-residential permit values declined 13 per cent to $2.7 million in November 2012 from $3.1 million in October. Institutional-government permits increased to $0.8 million from $0.4 million, while commercial permits dropped 98 per cent to $0.3 million from $1.4 million, and industrial permits rose 40 per cent to $1.8 million from $1.3 million during the same period. The seasonally adjusted value of residential permits jumped 114 per cent to $5.8 million in November 2012 from October’s $2.7 million.

Regional Building Permit Highlights

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Building Permit• Seasonally adjusted total building permit values in the Abbotsford CMA rose 46 per cent to $8.5 million in November 2012 compared to $5.8 million in October.
• Non-residential permits dropped 13 per cent in November to $2.7 million from $3.1 million.
• Residential permits rose 114 per cent in November to $5.8 million from $2.7 million.
• Year-to-date total building permit values in Abbotsford were down 35 per cent to $168.8 million in the first eleven months of 2012 compared to $258 million in the same period last year.
• Non-residential permits were down 48 per cent to $89 million.
• Residential permits were down 14 per cent to $69.2 million.
• Total building permit values rose 14 per cent in the Lower Mainland-Southwest region to $572.2 million in November 2012 compared to $501.6 million in October.

With more than 700 members, VRCA is British Columbia’s largest and most inclusive regional construction association, representing union and non-union, general and trade contracting companies, manufacturers, suppliers and other professionals throughout the Lower Mainland from Hope to Whistler.

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