Aug 21, 2008:
The value of South African recorded building plans passed at constant 2000 prices in June decreased by 24,5% year-on-year (y/y) from a revised decrease of 35,5% (36,2%) in May, Statistics South Africa (Stats SA) data on Wednesday showed.
Non-residential building plans were the biggest faller as they fell to -34,2% from a previous -13,4% (-14,3%).
Residential building plans fell to –28,3% from a revised –45,2% (–45,6%) in May.
Additions and alterations fell by –7,8% from a revised –30,4% (–31,7%) in May.
The value of building plans reported as completed to larger municipalities at constant prices fell just 2,8% y/y from a previous decrease of 27,7% (27,9%).
Building activity has come under a significant amount of pressure this year due to slowing housing demand and electricity shortages, as well as delays in plans passed.
Stats SA noted that the value of recorded building plans passed by larger municipalities (at current prices) during January to June 2008 increased marginally by 0,7% (R284,2m) compared with January to June 2007.
Increases were reported for non-residential buildings (22,6% or R1,677bn) and additions and alterations (6.1% or R611,1m), but to a large extent these increases were counteracted by the decrease recorded for residential buildings (-9% or –R2,004bn) for the above-mentioned period.
The only category of residential buildings showing noteworthy growth between the two years is other residential buildings (114,6% or R456,9m). – I-Net Bridge