Sunday, June 23, 2024

Conference Board of Canada Predicts Recovery in Commercial Construction

“Not only is the residential construction industry seeing a downturn in housing starts, but spending on home renovations is now showing signs of weakness too. In all, we expect price-adjusted spending growth in the residential construction industry to average less than one per cent per year through 2020,” says Michael Burt, director in industrial trends at the Conference Board of Canada. “Meanwhile, non-residential construction is positioned for a turnaround this year, led by growth in the institutional segment and increased investment in warehouses and hotels.”

Commercial construction will recover from a weaker 2016, when it saw a decrease of two per cent. The institutional sector is expected to drive the increase, supported by government spending on infrastructure. This sector alone is predicted to grow by 6.8 per cent.

Read the report here.