Calgary leads crane index

Key Takeaways:

• Nearly 70% of crane activity across North America is focused on residential and mixed-use developments, signaling strong demand in these sectors.
• Calgary saw a significant 20% increase in crane numbers, driven by major infrastructure projects like the Green Line LRT and affordable housing developments.
• Toronto’s crane count increased slightly, with 83 cranes in the downtown core, highlighting a recovery in construction activity following a slowdown earlier in the year.

The Whole Story:

North America’s construction industry is showing resilience despite a slight downturn in activity, according to Rider Levett Bucknall’s (RLB) Crane Index for Q3 2024.

Published biannually, the index tracks the number of operating tower cranes across 14 major U.S. and Canadian cities, providing a snapshot of the industry’s workload.

While the report shows a modest 5% decrease in crane activity since Q1 2024, the construction sector remains active, particularly in residential and mixed-use projects, which make up nearly 70% of all crane activity.

Of the 14 cities surveyed, seven experienced an uptick in crane numbers, four saw significant declines, and three held steady, showcasing the ebb and flow of urban development across the continent. The mixed-use sector, which blends residential, commercial, and retail spaces, continues to drive much of the growth.

Canadian cities: Calgary leads, Toronto shows steady growth

Calgary emerged as a standout in the Q3 report, experiencing a 20% rise in crane numbers, bringing the total to 24. This growth is largely attributed to major projects like the $1.2 billion Calgary Events Centre and the $5.5 billion Green Line LRT project. Additionally, residential construction to address affordable housing needs is ramping up, with $550 million allocated to new projects.

Meanwhile, Toronto, long known for its bustling construction scene, saw a slight increase in crane numbers, with the count rising to 83 cranes in the downtown core. Residential developments continue to dominate, with 43 cranes dedicated to housing projects. This resurgence follows a slowdown earlier in 2024, suggesting renewed growth across various sectors, including healthcare and education.

International trends: Mixed-use and residential dominate

Across the United States, mixed-use and residential projects remain the key drivers of construction. Cities like Seattle, Denver, and Los Angeles are seeing stable activity, although some regions, such as downtown Portland, are feeling the effects of high office vacancy rates, resulting in fewer cranes.

Boston, which saw a 22% reduction in crane count, continues to focus on mixed-use developments and educational projects. The city’s construction remains robust, despite the overall decrease.

Looking ahead

The Crane Index points to a dynamic and evolving construction landscape. Though some areas face challenges, such as high office vacancy rates, the ongoing demand for residential and mixed-use developments indicates a strong future for North America’s urban infrastructure.

With major infrastructure projects continuing and capital investments flowing into healthcare, education, and public-sector initiatives, the industry is expected to remain resilient despite market fluctuations.