1 / 32

Ontario’s Construction Outlook

Ontario’s Construction Outlook. Sean W. Strickland Chief Executive Officer Adam Cywinski Market Research Analyst March 24, 2009 ELECTRO-FEDERATION CANADA. Ontario’s Economy. Source: RBC, TD, Scotia Bank, BMO, CIBC. Inflation. Source: RBC, TD, Scotia Bank, BMO, CIBC. Ontario’s Economy.

samson
Download Presentation

Ontario’s Construction Outlook

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript


  1. Ontario’s Construction Outlook Sean W. Strickland Chief Executive Officer Adam Cywinski Market Research Analyst March 24, 2009 ELECTRO-FEDERATION CANADA

  2. Ontario’s Economy Source: RBC, TD, Scotia Bank, BMO, CIBC

  3. Inflation Source: RBC, TD, Scotia Bank, BMO, CIBC

  4. Ontario’s Economy Source: RBC, TD, Scotia Bank, BMO, CIBC

  5. Building Permits

  6. Ontario Building Permits Ontario year-end total - 2008

  7. Building Permits

  8. Weaker Commercial & Industrial Key Factors • Low commodity prices • Weak US demand • Declining Canadian demand • Automotive sector meltdown • Declining consumer confidence • Declining employment • Increasing vacancy rates

  9. StrengtheningInstitutional Outlook • Government stimulus • Backlog of infrastructure projects

  10. Federal Stimulus Immediate Action to Build Infrastructure • $30 billion over the next two fiscal years in construction investment (federal budget plus provincial/municipal leveraging) • $17 billion of construction projects can take place in 2009 followed by another $13 billion in 2010 • Ontario’s share is $11 billion ($5.5 from the feds, matched by the province)

  11. ‘Shovel Ready’

  12. ‘Shovel Ready’

  13. Truly ‘Shovel Ready’ projects

  14. Federal Stimulus

  15. Outlook for Ontario& The Regions

  16. Ontario Outlook – Non Residential Stimulus Source: C4SE

  17. Ontario Outlook – Housing Starts Source: C4SE

  18. Eastern Ontario Outlook - Cautiously Optimistic

  19. Central Ontario Outlook –Concerned / Optimism

  20. Southwestern Ontario Outlook - Deflated

  21. Northern Ontario Outlook – Thin Ice

  22. Greater Toronto Area Outlook – Strength in Diversity

  23. Annual Business Conditions Survey

  24. A Strong 2008 for Ontario’s Contractors 45% of contractors indicated they conducted more work in 2008 than 2007 Q4. Thinking about the total amount of business your firm conducted in 2008, would you say that your firm conducted more business, less business or about the same amount of business compared to 2007? PROBE: Is that much more/less or somewhat more/less Base: All respondents n=1043, Unionized n=276, Non-unionized n=755

  25. Regional Differences in Perceptions of Availability of Skilled Construction Workers • 47% of contractors rated availability of skilled construction workers as very good or somewhat good • Contractors in Eastern and Northern Ontario were more likely to rate availability of skilled construction workers as very poor or somewhat poor

  26. Future Employment Outlook 16% of contractors expect to employ more people in 2009 30% of contractors expect to employ fewer people in 2009

  27. Business Outlook for 2009 20% contractors feel their business will grow in 2009 38% contractors feel they will conduct less business in 2009

  28. Business Outlook for 2009

  29. Institutional Strength Anticipated

  30. Contractors Confident of the Overall Financial Health Overall Rating of Financial Health 75% of contractors rated their overall financial health as strong or very strong Q3. How would you describe your firm’s overall financial health?

  31. Risks and Opportunities • The proposed federal spending and related provincial municipal participation will prompt purchases of a wide range of goods and services, including the following: • Opportunities: • Traditional building materials (concrete, wood, steel, plastics, roofing, asphalt, etc.) • Design, engineering and architecture services • Information and communication technology • Fixtures, furniture and appliances • Energy-efficient and environmentally friendly products • Government regulatory, administrative and support services

  32. Events Future Building (Durham Region) April 7-9, 2009 www.ocsconex.com www.iciconstruction.com

More Related