Analytics, Construction, Latvia, Real Estate

Construction of buildings rose by 6.0%; of which construction of residential buildings – by 7.2%, and construction of industrial production buildings and warehouses – by 19.5%. Also the number of newly constructed apartments decreased – in the 1^st quarter of 2015, 326 apartments were commissioned, which is 37% less than in the 1^st quarter of 2014.

Construction Production Volume Index (2010=100)

Data source: Central Statistical Bureau of Latvia

Construction of civil engineering structures decreased by 2.5%, of which construction of harbours, waterways, dams and other water works – by 38.5%, construction of main pipelines, communication and power lines – by 21.2%, and construction of local pipelines and cables – by 18.1%. In turn, growth was recorded in construction of highways, streets, roads, airfield runways, railways – of 26.7%, and in construction of other civil engineering structures – of 29.6%.

Construction volume and changes

During the 1^st quarter of 2015, 340 building permits¹ were granted for construction, capital repairs, reconstruction and restoration of single dwelling buildings with the total floor space of 68.2 thsd m². Compared to the 1^st quarter of 2014 it is 35 building permits fewer, and the intended total floor space has decreased by 17.1%.

The number of granted building permits for construction of industrial buildings and warehouses has decreased by 46.6%, and in the 1^st quarter of 2015, 70 building permits were granted for the the total floor space of 85.4 thsd m².

In the 1^st quarter of 2015, 219 building permits were granted for construction of new buildings with the total floor space of 46.5 thsd m², which is 20 building permits and 13.4% of the intended floor space less than in the 1^st quarter of 2014.

The number of granted building permits for construction of new industrial buildings and warehouses decreased by 62.1%, and 36 building permits were granted for the total floor space of 42.5 thsd m².

The number of building permits granted gives an idea of the workload of the construction sector in the near future.

More information on construction volume indices and building permits is available in the CSB database section Construction.

¹ Since the 4^th quarter of 2014 in construction statistics the term granted permits means a record in the construction permit confirming that preconditions for commencement of construction works have been met.