Statscan - The composite price index for non-residential building construction decreased 2.8% in the fourth quarter to 151.5 (2002=100) compared with the previous quarter. The quarterly decrease was mostly the result of the decline in construction material prices and a weakening of the non-residential building construction market.

Compared with the fourth quarter of 2007, the composite price index for non-residential building construction was up 8.2%.

Of the seven census metropolitan areas (CMAs) surveyed, Edmonton recorded the highest quarterly decrease (-5.3%), while Montréal (+1.1%) registered the largest increase. The quarterly decrease for Edmonton was the largest recorded for this CMA since the index was first published in the first quarter of 1981.

Compared with the fourth quarter of 2007, Calgary had the largest increase (+10.4%), while Vancouver (+4.0%) recorded the smallest year-over-year increase.

Note: In the fourth quarter of 2008, the five building models used in the calculation of non-residential building construction price indexes were replaced with updated models. Also, the base year was changed to 2002=100.

The Non-residential Building Construction Price Index provides an indication of the changes in new construction costs in six census metropolitan areas or CMAs (Halifax, Montréal, Toronto, Calgary, Edmonton and Vancouver) and the Ottawa part of the Ottawa–Gatineau CMA.

Three construction categories (industrial, commercial and institutional buildings) are represented by selected models (a light factory building, an office building, a warehouse, a shopping centre and a school). Besides the CMA and composite indexes, a further breakdown of the changes in costs is available by trade group (structural, architectural, mechanical and electrical) within the building types.

These price indexes are derived from surveys of general and special trade group contractors. They report data on various categories of costs (material, labour, equipment, taxes, overhead and profit) relevant to the detailed construction specifications included in the surveys.