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Permits issued for residential housing fell 9.3 percent to $3.4 billion, lead by a 17.5 percent drop in multifamily housing, the report said.

Permits for non-residential construction, including commercial, industrial and institutional projects, declined 19.3 percent to $2.2 billion.

Quebec and Ontario showed the sharpest drop off in residential building, contributing to two-thirds of the decline, the report said.

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