Yellowknife (Aug 23/06) - The amount of commercial construction is on the downswing this summer according to both city hall and the construction industry.

"We've noticed commercial work is down this summer," said Eric Sputek, president and owner of Hovat Construction.

Trevor Whetmore, left, and Mark Wasiuta, overhead door technicians with CN Doors, do some preparation work in the Kam Lake industrial centre. Commercial construction is down in Yellowknife this year compared with 2005. - David Ryan/NNSL photo

Sputek said fewer available commercial contracts means that there are fewer hours available for people in his company. Numbers from city hall show that nine commercial building permits have been issued in 2006 between January and July.

Another 19 permits for alterations or additions to existing buildings were also issued. That compares to 11 new commercial building permits and 31 for alterations in 2005, said Bill Fandrick, building inspections manager with the City of Yellowknife.

Sputek said that in past years, his company has had up to 70 people working, but numbers are lower this summer. Some workers are evening moving south.

"We're losing people to Alberta - there's more work there," said Sputek.

PCL Construction is also seeing a bit of a downturn in construction this summer, said project manager Kevin Bilesky.

While the summer hasn't been as busy as last year, he is looking ahead.

"Hopefully, there are some jobs on the horizon," he said.

He said he sees the potential for school renovations and reconstruction. St. Joseph elementary school fell victim to arson earlier this month. Various levels of government are also looking at a potential court house and the soccer facility down the road.

While commercial permits are down, residential building permits increased from last year.

Fandrick said that 34 residential building permits have been issued this year as of the end of July.

Another 65 for alterations or additions have also been granted.

In 2005 just 24 new building permits and 77 for alterations went out, said Fandrick.

The first phase of the proposed 92-townhome Bayview Estates on Niven Drive could account for the increase this year, he said.