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Summer heat drives pool industry’s exceptional year

Ontario

It would seem the gradual change in seasons is a thing of the past and weather extremes are now the norm. In February, similar to Quebec, this region saw cold artic air bring extreme wind chills (between -30 to -50 C [-22 to -58 F])—one day the temperature dropped to -26.3 (-15.3 F), the lowest at any time in 22 years. In fact, areas such as Welland, Hamilton, Oshawa, and Kitchener all experienced the coldest Valentine’s Day on record. March was no different as 150 to 300 mm (6 to 12 in.) of snow fell across most of southern Ontario, followed by an ice storm which disrupted power for many in this region over the Easter weekend.

In what has become the norm, builders were kept on standby as to when they could start installing pools for their customers. However, backyard aficionados in Ontario showed they have had enough and were not going to let the weather dictate their desire for a pool. Flashback, permit registrations between January and April fell 23 per cent in 2013, an additional 30.5 per cent in 2014, and another 12 per cent in 2015. However, the number of pool permit registrations during this same period in 2016 helped to erase this three-year deficit. In fact, 146 more permits were registered in 2016 than the previous year representing a 60 per cent increase, respectively.

While the downward trend continued throughout each of the 2013, 2014, and 2015 seasons, this was definitely not the case last year. That said, one would be safe to say the weather played a huge role in the revival of the backyard escape as once the Victoria Day weekend arrived, so too did summer.

According to CMOS-SCMO, between May and November it was consistently hot, humid, and dry. For instance, Toronto typically has 14 days where temperatures reach above 30 C (86 F). Last year there were 39, more than the previous three summers combined. Heat alerts were also being issue at record-pace.

Taking this into consideration, 1575 pool permits (582 more than the 2015 season) were registered between May and September, representing a 59 per cent increase. Another trend that can be attributed to Mother Nature is the longevity of the pool installation season. The fourth quarter (October, November, and December) was the lone bright spot for this region in 2015 and, in 2016, it continued to get better, as an additional 294 permits were recorded, representing a 58 per cent increase, respectively.

Of 15 reporting CMAs in the province, two showed no change (Oshawa and Thunder Bay), while permit registrations increased in 12 and decreased in one.

Although Toronto, the largest city in this region, had an 11.5 per cent increase in pool permit registrations year-over-year, it was bumped from the list of top five CMAs in terms of increased building permit registrations thanks to the likes of Guelph (483 per cent increase) and Hamilton (121 per cent increase).

Ontario represents 23.9 per cent of the total number of building permits issued in Canadian CMAs, representing an increase of five per cent.

Top five major urban centres with decreased building permit registration in 2016

Region 2015 2016 (-) Change
Kelowna 243 180 63
Brantford 59 30 29
Winnipeg 125 101 24
Saguenay 67 56 11
Edmonton 38 31 7

Prairies

While the industry in Eastern Canada benefitted from the weather, this was certainly not the case for the Prairies (Manitoba, Saskatchewan, and Alberta). This region was battered by multiple weather extremes from the driest, warmest winter/spring on record to supercell storms, high winds, hail, flooding, and tornadoes. The former, according to CMOS-SCMO, were the prime conditions for the Ft. McMurray fire that started on May 1 and was not declared under control until July. Thousands of homes were destroyed as the fire spread across northern Alberta and into Saskatchewan, resulting in the most expensive disaster in Canadian history.

Needless to say, these accounts, along with the uncertainties of the region’s resource-based economy, took their toll on the pool industry in 2016. Despite many destructive storms during the 2015 season when only one of five CMAs recorded fewer pool permit registrations, all six were down in 2016.

When looking at the individual CMAs, Winnipeg was hit hardest as pool permit registrations fell by 19 per cent after a near 60 per cent increase in 2015. This CMA was also fifth on the list of top five major urban centres with increased building permits in 2015 and now sits third on the list of total number of decreased permits. Pool installations were down 36 per cent in Saskatchewan and 16 per cent in Alberta.

On a positive note, pool permits were up last year by 31.5 per cent during October, November, and December. Alberta led the way with a 41.6 per cent upturn, which may be a good sign heading into the current season.

This region, one of the most stable markets in terms of fluctuation in 2015, was down by 20 per cent last season. Overall, the Prairies makes up 1.9 per cent of the total number of building permits issued in Canadian CMAs, representing a 1.1 per cent decrease year-over-year.

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