Recording a 23.6 per cent increase from July and a huge 76.7 per cent increase from August 2010, building permits were valued at $461 million in the Calgary CMA in August.
The entire province of Alberta recorded a building permit value of $615.4 million in its residential sector. This was down 4.3 per cent from July, but up 27.1 per cent year-over-year. The province-wide non-residential sector was valued at $561 million with an increase of 20.6 per cent from July and a 50.8 per cent increase from August 2010.
“While building permits themselves don’t generate GDP or jobs, they are one of the first steps in the construction process,” said Dan Sumner, an economist with ATB Financial in Calgary. “Hence, they are an excellent leading indicator for construction activity, a sector that directly accounted for around eight per cent of the provincial economy in 2010,” he explained in an interview with the Calgary Herald.
StatsCan has stated that the increase in Calgary was mostly attributable to multiple-family dwellings and commercial permits. Woohoo!