Associated Builders and Contractors reported today that its Construction Backlog Indicator increased to 9.3 months in July, according to an ABC member survey conducted July 20 to Aug. 4. The reading is up by 0.6 months since July 2022.
The South remains the region with the highest level of backlog, despite being the only region with lower backlog on a year-ago basis. Backlog gains in July were concentrated in the commercial and institutional category.
“Nonresidential construction backlog continues to expand, which is precisely what contractors had predicted six months ago," said ABC Chief Economist Anirban Basu. "For many months, contractors have been signaling an expectation that demand for their services would continue to expand despite high and rising interest rates and a spate of regional bank failures.
“That said, there are some surprises in the data,” said Basu. “Backlog declined in both the infrastructure and heavy industry categories, possibly because the current administration is striving to reserve many large-scale projects for unionized firms. ABC members are largely nonunion, and therefore may be locked out of a meaningful proportion of significant opportunities. Diminished competition for such projects would tend to drive up construction service delivery charges, much of which are financed by American taxpayers."
ABC’s Construction Confidence Index reading for profit margins and staffing levels moved higher in July, while the reading for sales fell slightly. All three readings remain above the threshold of 50, indicating expectations of growth over the next six months.
Related Stories
| Apr 5, 2013
'My BIM journey' – 6 lessons from a BIM/VDC expert
Gensler's Jared Krieger offers important tips and advice for managing complex BIM/VDC-driven projects.
| Apr 5, 2013
Commercial greenhouse will top new Whole Foods store in Brooklyn
Whole Foods and partner Gotham Greens will create a 20,000-sf greenhouse atop one of the retailer's Brooklyn supermarkets. Expected to open this fall, the facility will supply produce to nine Whole Foods stores in metro New York City.
| Apr 5, 2013
Projected cost for Apple's Campus 2 balloons to $5 billion
Campus 2, Apple Inc.'s proposed ring-shaped office facility in Cupertino, Calif., could cost $5 billion to build, according to a report by Bloomberg.
| Apr 5, 2013
Extreme LEGO: Wondrous micro city built out of 200,000 blocks
Master LEGO builder Mike Doyle unveils his latest creation, an out-of-this-world micro city that celebrates peaceful alien contact.
| Apr 3, 2013
AIA CES class: Sealant repairs that last – hybrid sealants for building restoration
It is hard to talk about restoration without talking about sustainability. This two-hour interactive online course discusses the role that restoration can and does play in the arena of sustainability, and specifically the role that sealants play in sustainable design and repair.
| Apr 3, 2013
Construction spending up 20% since 2011, growth will continue, says Gilbane report
The monthly rate of construction spending is up 20% in 24 months and increased in 18 of the last 24 months, which is a good leading indicator for new construction work in Q3-Q4 2013, according to Gilbane's latest Market Conditions in Construction report.
| Apr 3, 2013
5 award-winning modular buildings
The Modular Building Institute recently revealed the winners of its annual Awards of Distinction contest. There were 42 winners in all across six categories. Here are five projects that caught our eye.
| Apr 2, 2013
6 lobby design tips
If you do hotels, schools, student unions, office buildings, performing arts centers, transportation facilities, or any structure with a lobby, here are six principles from healthcare lobby design that make for happier users—and more satisfied owners.
| Apr 2, 2013
Green building consultant explores the truth about green building performance in new book
A new book from leading sustainability, green building author and expert Jerry Yudelson challenges assumptions about the value of sustainable design and environmentally-friendly buildings.