By Paul Vieira
OTTAWA--Canadian building permits issued in February rose, although at a slower pace relative to the previous month, with demand to build nonresidential structures such as nursing homes driving results.
The total value of building permits in February climbed 2.1% on a month-over-month basis to a seasonally adjusted 10.15 billion Canadian dollars, or the equivalent of $8.08 billion, Statistics Canada said Thursday. This marked the first time the value of permits surpassed the C$10 billion mark. Market expectations for February weren't available.
The previous month's data were revised lower, and now indicate permits issued increased 6.9% versus the earlier estimate of an 8.2% advance.
On a year-over-year basis, the overall value of permits issued surged in February by 20.5%.
Building permits provide an early indication of construction activity in Canada and are based on a survey of 2,400 municipalities, representing 95% of the country's population. The issuance of a permit doesn't guarantee that construction is imminent.
February's data were buoyed by demand to build nonresidential structures. Permits in this category climbed 14.2% to C$3.31 billion. Statistics Canada several permits were issued to build nursing homes and hospice centers in the provinces of Ontario and Alberta; and additions and renovations to existing commercial properties.
Meanwhile, residential permits in February fell 2.9%, after a record 8.4% gain in the prior month.
Write to Paul Vieira at firstname.lastname@example.org
(END) Dow Jones Newswires
April 01, 2021 09:10 ET (13:10 GMT)Copyright (c) 2021 Dow Jones & Company, Inc.