Associated Builders and Contractors reported that its Construction Backlog Indicator remained unchanged at 8.9 months in May, according to an ABC member survey conducted May 20 to June 7. The reading is 0.1 months lower than in May 2022.
Backlog in the infrastructure category ticked up again and has now returned to May 2022 levels. On a regional basis, backlog increased in every region but the Northeast.
ABC’s Construction Confidence Index reading for sales and staffing levels moved lower in May while the reading for profit margins increased. All three readings remain above the threshold of 50, indicating expectations of growth over the next six months.
“During a period of ongoing tumult associated with major bank failures, a near-miss debt ceiling crisis and shifting monetary policy, nonresidential construction backlog has remained remarkably stable,” said ABC Chief Economist Anirban Basu. “At nearly nine months, backlog is essentially unchanged from a year ago and the previous month.
“Moreover, contractor confidence remains elevated despite massive increases in cost of capital and growing concerns over the nation’s commercial real estate segment, with firms indicating sufficient demand and associated pricing power that will keep profit margins steady or better,” said Basu. “Contractors also expect to bring on additional talent over the next six months, an indication of ongoing industry expansion."
Related Stories
| Apr 25, 2012
J.C. Anderson selected for 50,000-sf build out at Chicago’s DePaul University
The build-out will consist of the construction of new offices, meeting rooms, video rooms and a state-of-the-art multi-tiered Trading Room.
| Apr 24, 2012
ULI Real Estate Consensus Forecast, projects improvements for the real estate industry through 2014
Survey is based on opinions from 38 of the nation’s leading real estate economists and analysts and suggests a marked increase in commercial real estate activity, with total transaction volume expected to rise from $250 billion in 2012 to $312 billion in 2014.
| Apr 24, 2012
Roofing Supply Group acquired by Clayton, Dubilier & Rice
RSG provides a complete offering of residential and commercial roofing materials and related supplies.
| Apr 24, 2012
McLennan named Ashoka Fellow
McLennan was recognized for his work on the Living Building Challenge.
| Apr 24, 2012
AECOM design and engineering team realizes NASA vision for Sustainability Base
LEED Platinum facility opens at NASA Ames Research Center at California’s Moffett Field.
| Apr 23, 2012
Vegas’ CityCenter called financial ‘black hole’
Two and a half years ago, stockholders filed six lawsuits after the stock price fell from $99.75 on Oct. 9, 2007, to $1.89 on March 5, 2009. Bondholders sued over similar steep losses.
| Apr 23, 2012
Innovative engineering behind BIG’s Vancouver Tower
Buro Happold’s structural design supports the top-heavy, complex building in a high seismic zone; engineers are using BIM technology to design a concrete structure with post-tensioned walls.
| Apr 23, 2012
AAMA releases updated specification for anodized aluminum
AAMA 611-12 describes test procedures and requirements for high performance (Class I) and commercial (Class II) architectural quality aluminum oxide coatings applied to aluminum extrusions and panels for architectural products.
| Apr 23, 2012
Thornton Tomasetti project wins AISC Merit Award
Thornton Tomasetti provided structural design services through construction administration to architect HOK for the 1.6-million-sf tower and tiara structure, which comprises 15 steel tube arches spanning approximately 158 feet horizontally and 130 feet vertically from the top of the main building roof.
| Apr 23, 2012
Construction underway on City Winery Chicago
The Building Team is maintaining the old brick and timber construction, while adding 5,000-sf of new construction in the form of a two-story addition within the site’s existing courtyard.
