Escalation Watch Third Quarter 2016
Statistics Canada’s 2016, third quarter, Non-residential Building Construction Price Indices were released November 8th. The fourth quarter indices for 2016 will be available mid-February 2017.
The second quarter of 2016 saw the national composite index rise 0.4% - an increase consistent with the growth seen in the previous quarter. This increase has been attributed to higher materi-al prices reported by contractors in the architectural and structural trades in Vancouver.
Those surveyed in four of the seven census metropolitan areas reported quarterly increases with Vancouver (1.5%) leading the way, followed by Toronto (0.4%). It is important to note that Calgary (0.1%) and Edmonton (0.3%) recorded their first quarterly increases in the last four reported surveyors.
Year over year, the composite price index continued its rise, up 1.3%. The largest year over year increase was reported was again in Vancouver, up 4.7% and Toronto (3.2%). Edmonton (-2.6%) and Calgary (-2.5%) reported the only decreases compared with the third quarter of 2015.
It bears remembering that the indices prepared for Statistics Canada are intended only to track cost changes in a given city. The index cannot be used to compare costs between cities.
The source data used to prepare the charts in this newsletter is drawn from Statistics Canada’s CANSIM, specifically table 327-0043. Readers are cautioned that Statistics Canada does, on occasion, restate indices from previous quarters. Individual city and national composite indices reported in this newsletter reflect these changes. Indices restated from the previous report are highlighted for ease of reference where appropriate.
More information about this and other construction related indices published by Statistics Cana-da are available on line at www.statcan.gc.ca.
- Susan Neil, PQS, MRICS
Executive Vice President