Local homebuilders gear down in August.
October 7, 2004 - Local builders took a break in August, according to the latest building permits data from Statistics Canada, with residential permits down by 36 per cent from July.
Statscan reported that the total value of permits issued in Ottawa-Gatineau in August fell by 25 per cent from the month before, to $148.76 million.
Driving the decline was a slump in building intentions for new homes, with the value of permits down by 36 per cent from July's levels to $86.172 million.
Permits for more affordable "multiple" types of housing such as condos and rowhouses were down by 55.3 per cent, while permits for costlier single-family homes fell by 14.1 per cent.
In July, permits for multiple-type dwelling units jumped by 82.5 per cent, while permits for singles fell by 5.2 per cent.
Nonetheless, Ottawa remains on track for another banner year of new home construction. Despite August's retreat from July, permits issued on the year to date remain 17 per cent higher than in same period of 2003 at $778.293 million.
In the non-residential half of the local market, the value of permits was down only marginally from July to August, by 0.9 per cent to $62.59 million.
Gains of 38.6 per cent and 5.8 per cent respectively in the industrial and commercial sectors were offset by a decline of 60.2 per cent in the institutional sector.
On the year to date, permits for non-res projects are down by 21.6 per cent from the year before, to $379.19 million. Double-digit declines have been recorded in all three sectors of the non-residential market.
© Copyright 2004 The Ottawa Business Journal