Edmonton Housing Starts Continuing Into Seventh Month of Growth in January

Edmonton Housing Starts Continuing Into Seventh Month of Growth in January January represented the seventh consecutive month of growth versus a year-ago in housing starts in Edmonton. There were 577 construction starts last month, an increase of 164 over January 2009, when the market was at a standstill.

Single-family houses account for the majority of the growth, with 397 units. This number is up an astounding 250 units versus a year ago.

According to Richard Goatcher, who is a senior analyst with Canada Mortgage and Housing Corporation, single-family home construction will continue at a robust level this year.

Multi-family unit starts declined by 32 percent since January 2009 after two previous months of growth. Construction initiated on 180 units of semi-detached apartments and town homes, as compared to 266 a year ago. Goatcher said that the CMHC anticipates a gradual increase in new construction for multi-family dwellings as inventory in this category decreases and fewer rental properties become available.

A 52 percent increase of housing starts versus year-ago was recorded in Alberta's biggest markets in January, representing 1,271 units.

The cities of Edmonton, Calgary, Red Deer and Grande Prairie saw heightened activity, while decreases were noted in Lethbridge lethbridge seniors housing, Medicine Hat and Wood Buffalo.

Todd Hirsch, a senior analyst at ATB Financial, said that housing starts in Alberta's urban areas declined by 17 percent versus December 2009, to 21,100 units. This represents the second month in as many in which losses occurred. Hirsch remarked that the slower starts might be attributable to January's heavy snow and cold temperatures, but also to a correction from the construction bounceback that occurred in late 2009.