CanaData’s latest construction starts forecasts are set out in the tables that accompany this report. The current year will see non-residential building starts in Canada drop to about half the level that they reached two years ago in 2007, 45.5 million square feet versus 92.1 million. The credit crunch, reduced international travel, lower world trade and high unemployment are all factors holding back privately-funded construction projects at this time. What is perhaps most remarkable, however, is the fact that interest rates remain so low in Canada and throughout the industrialized world. In no way are interest rates inhibiting factors with respect to investment.

Office vacancy rates in Canada continued to ratchet higher in the third quarter, reaching 8.2%, the highest level since the fourth quarter of 2005.

Canada’s population grew by a surprisingly strong 0.36% in the second quarter of 2009. This was slightly less than the 0.38% recorded in Q2/2008, which was a 17-year high.

According to Statistics Canada, 70% of the second quarter population increase was due to net international migration, while natural increase (births minus deaths) accounted for the remaining 30%.