Ontario Q2 ICI permit values reach C$11.24 billion, up 98% quarter-over-quarter

en.Wedoany.com Reported - The total value of industrial, commercial, and institutional (ICI) building permits in Ontario reached C$11.24 billion in the second quarter of 2026, up 98% from C$5.68 billion in the first quarter, according to the latest economic update released by the Ontario Construction Secretariat (OCS). Growth was driven primarily by institutional projects, including a large healthcare project in the Toronto Census Metropolitan Area (Toronto CMA).

Institutional permits accounted for more than half of total ICI permit value in the quarter, while commercial activity also strengthened and industrial permit values declined. Key markets outside Toronto include Ottawa-Gatineau, London, Hamilton, and Peterborough.

The OCS noted in its report that the market rebound was primarily driven by the institutional sector. Institutional permit values reached a monthly record of C$4.82 billion in June, enough to offset weak performance in April and May; institutional permits totaled C$6.34 billion for the quarter, up 244% quarter-over-quarter. Total ICI permit value in June alone reached C$6.97 billion, largely linked to a large healthcare project in the Toronto CMA.

For June alone, commercial and industrial permit values were C$1.57 billion and C$580 million, respectively; for the full quarter, commercial permits rose 60% to C$3.34 billion, while industrial permits fell 14% to C$1.55 billion.

Toronto recorded C$5.5 billion in ICI building permits in June, up 30.4% from April and more than six times the May figure, with gains driven mainly by institutional projects. Outside Toronto, Ottawa-Gatineau led in June with C$289 million, followed by Hamilton at C$265.3 million; the former was driven by institutional projects, while the latter was mainly supported by industrial projects. Windsor's monthly permit value rose to roughly 14 times its May level, though the total remains modest. Peterborough, Barrie, Thunder Bay, and Guelph posted the largest month-over-month declines.

On a quarterly basis, Toronto's permit value nearly doubled from the first quarter, reaching C$7.36 billion in the second quarter. Among other census metropolitan areas, Peterborough recorded the largest percentage increase, driven by a major university infrastructure project; Ottawa-Gatineau totaled C$533.6 million for the quarter, while London and Hamilton also maintained strong activity. Most CMAs saw permit values rise from the first quarter, with Barrie and Oshawa as exceptions.

By building type, institutional buildings were the primary driver of ICI permit activity in the second quarter, accounting for 56% of total permit value, with commercial buildings at 30% and industrial buildings at 14%. Medical and hospital projects led all building types with C$4.55 billion in permits, roughly C$3.54 billion higher than the first quarter, and were the main reason for the record level of institutional permits, with the Toronto healthcare project being a key contributor. Schools and educational buildings followed at C$1.25 billion.

Warehouses ranked as the third-largest building type at C$1.05 billion, more than triple the first-quarter value; office building permits reached C$890.9 million, up C$188.5 million from the previous quarter. Most building types recorded higher permit values in the second quarter, with the main exceptions being factories and plants, laboratories, recreational facilities, welfare and residential care facilities, and service stations.