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Winnipeg Free Press - ONLINE EDITION

Building permits tumble in Manitoba

By: Murray McNeill

5/11/2009 11:47 AM | Comments: 0

WINNIPEG — Building-permit activity was down for the second straight month in September in Manitoba, according to new figures issued this morning.

Manitoba municipalities issued $102.8 million worth of permits during the month, which was a decline of 20.8 per cent from August’s total of $129.9 million, Statistics Canada said.

September’s decline came on the heels of a 24.7 per cent drop in August. That decline halted four consecutive months of increasing permit activity.

Building-permits are an early indicator of future building activity because builders must obtain a permit before construction can begin on a project. Increasing numbers are usually followed by an increase in building activity, and vice versa.

Manitoba was one of three provinces to post a decline in permit values in September. British Columbia and Newfoundland and Labrador were the others.

Canada saw its permit values increase by 1.6 per cent to $5.1 billion for the month. "This second consecutive monthly increase came from higher intentions in the residential sector," the agency said, "which more than offset a decline in the non-residential sector."

Manitoba’s September decline was also due to a drop-off in non-residential permit activity, which plummeted by 50.1 per cent to $30.3 million. That was only partially offset by a 4.9 per cent increase in residential-permit values ($72.5 million vs. $69.1 million in August).

murray.mcneill@freepress.mb.ca

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