Single-family housing starts, as measured by building permits issued, plunged 59.8 percent in February compared to the same month last year, the California Building Industry Association trade group reported this week, and total housing starts dropped 27.9 percent.

CBIA reported 2,540 total single-family building permits issued in February, compared with 6,326 permits issued in February 2007, according to building-permit data supplied by the Construction Industry Research Board, a nonprofit research center.

Multifamily building-permit activity, meanwhile, rose 35.8 percent year-over-year in February, according to the report, with 4,315 multifamily permits in February 2008.

Single-family permit activity dropped 5 percent in February 2008 compared to the previous month, while monthly multifamily building-permit activity rose 112.2 percent compared to January.

The increase in multifamily construction was expected because of an increased demand for apartments, said Alan Nevin, CBIA chief economist, in a statement.

He also said that federal actions to increase the conforming loan limit and reduce the federal funds rate could "gradually induce activity in new-home production."

The Los Angeles metro area led in permit activity with 1,635 housing permits issued in February, followed by the Riverside area with 973 and the Anaheim area with 906, according to the report.


What’s your opinion? Leave your comments below or send a
letter to the editor.

Show Comments Hide Comments


Sign up for Inman’s Morning Headlines
What you need to know to start your day with all the latest industry developments
Thank you for subscribing to Morning Headlines.
Back to top
Leaders from across the industry answered our call to come to Inman Connect and share essential advice for leveling up your 2021.SEE THE SPEAKERS×
Up-to-the-minute news and interviews in your inbox, ticket discounts for Inman events and more
1-Step CheckoutPay with a credit card
By continuing, you agree to Inman’s Terms of Use and Privacy Policy.

You will be charged . Your subscription will automatically renew for on . For more details on our payment terms and how to cancel, click here.

Interested in a group subscription?
Finish setting up your subscription