Industrial and commercial activity lifts construction spending for second consecutive quarter
Submitted. Non-residential construction investment in the Abbotsford CMA rose 22 per cent in the third quarter of 2014, according to Vancouver Regional Construction Association’s analysis of Statistics Canada’s Investment in Non-Residential Building Construction report.
“Total non-residential building construction spending in Abbotsford, led by commercial and industrial spending, saw a quarterly rise for the second straight quarter, following seven consecutive quarters of declines,” says Fiona Famulak, president of the Vancouver Regional Construction Association (VRCA).
Total non-residential building construction investment spending in Abbotsford was up to $35.1 million seasonally adjusted in the third quarter of 2014, compared to $28.8 million in the second quarter of 2014. Commercial construction investment rose 44.3 per cent to $15.6 million and institutional-government spending fell 5.3 per cent to $10.6 million, while industrial building investment was up 31.3 per cent to $8.9 million.
“We expect to see fourth quarter total spending rise over the third quarter, led by private sector spending,” says Famulak. “Commercial and industrial spending are coming off low levels, and building permit gains this year point towards this uptrend extending into 2015.”
Metro Vancouver saw a 1.6 per cent rise in total non-residential building construction investment in the third quarter of 2014 to $811.1 million seasonally adjusted, from $798.4 million in the second quarter of 2014.
Highlights from the first quarter 2014 Investment in Non-residential Building Construction report:
Abbotsford Census Metropolitan Area (CMA)
Non-residential building construction investment rose 22 per cent to $35.1 million seasonally adjusted in the third quarter 2014 from $28.8 million in the second quarter of 2014.
– Commercial building spending increased 44.3 per cent to $15.6 million.
– Industrial building investment climbed 31.3 per cent to $8.9 million.
– Institutional-governmental building investment declined 5.3 per cent to $10.6 million.
YTD 2014 compared to YTD 2013
Total non-residential building construction investment spending was down 31 per cent to $88.1 million in in the first three quarters of 2014 compared to $127.8 million in the first three quarters of 2013.
– Commercial building investment spending was down 39.1 per cent to $35.5 million from $58.3 million.
– Industrial building investment spending was up 27.7 per cent to $19 million from $14.8 million.
– Institutional-government building investment spending was down 38.4 per cent to $33.7 million from $54.7 million.
With close to 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.