The value of building permits surged to its second-highest level on record in August following across-the-board increases in all five residential and non-residential components, Statistics Canada said today.

Canadian municipalities issued $5.8 billion worth of permits, up 8.3% from July, second only to the $6.3 billion worth issued in December 2005.

The value of residential permits hit $3.6 billion, up 5% from July and the third gain in four months.

StatsCan said the continuing increase in the value of residential permits was the result of strong demand for both new single-and multi-family dwellings.

The value of non-residential permits totalled $2.17 billion, a 14.2% increase from July fuelled by double-digit growth in all three non-residential components – industrial, commercial and institutional.

The August value of non-residential permits, on an upward trend since the end of 2005, was the second highest in 12 months, surpassed only by the $2.23 billion registered in March.