Gilbane Building Co. has released the Fall 2012 edition of Construction Economics -- Market Conditions in Construction. Based on an array of economic data, construction starts, and material cost trends, this free report indicates an increase in construction spending over last year but cautions of an expected downturn again in early 2013. The Architectural Billings Index (ABI), which predicts activity 9-12 months out, indicates increasing spending nearly through the end of the year before another slowdown.
"Jobs continue to be the difficulty in this construction recovery. They are at a near standstill, while spending continues a slow climb," says Ed Zarenski, the report's author and a 40-year veteran of the construction industry. "A nugget of good news, though, is that climb may mean productivity is increasing. Spending is up only 2.5% since the beginning of the year, but up 6% from a year ago. Supported by positive growth trends, contractors may be able to recover a bit of lost margins."
According to the report, the construction industry has seen a small but continued growth in contractor's margins that started a very slow return to positive in 2011. Material price increases and labor cost growth will still contribute to escalation. Contractors' building costs "charged" in 2012 are above labor and material cost increases, signaling a continued movement towards recovery of more normalized margins.
Among the topics covered in this comprehensive report are:
- Construction Starts, Spending, & Costs
- Material Price Movement
- Trends and Costs for Structural Steel, Recycling Steel, & Copper
- Architectural Billings Index
- Current Inflation Forecast
- ENR Index -- BCI History
This free report is available for download at http://info.gilbaneco.com/construction-economics. +
Related Stories
Giants 400 | Nov 1, 2017
Top 35 industrial architecture firms
Jacobs, Stantec, and BRPH top BD+C’s ranking of the nation’s largest industrial sector architecture and AE firms, as reported in the 2017 Giants 300 Report.
K-12 Schools | Oct 31, 2017
Exploring empathy in architecture: Put yourself in your student’s shoes
People are enigmatic and inherently complex, which can make it difficult to design for a larger population.
Architects | Oct 31, 2017
AIA selects recipients for the 2017 Innovation Awards
The program honors projects that highlight collaboration between design and construction teams to create better process efficiencies and overall costs savings.
Giants 400 | Oct 30, 2017
Top 130 green architecture firms
Gensler, Stantec, and HOK top BD+C’s ranking of the nation’s largest green sector architecture and AE firms, as reported in the 2017 Giants 300 Report.
Architects | Oct 30, 2017
City 2050: What will your city look like in 2050?
What do we think the future will look like 30 years or so from now? And what will City: 2050 be like?
Architects | Oct 25, 2017
Mason & Hanger appoints Ben Lilly as its new president
The firm expects to continue mining growth opportunities with its federal agency clients.
Healthcare Facilities | Oct 25, 2017
Creating child-friendly healthcare spaces: Five goals for success
Children often accompany parents or grandparents in medical settings; what can we do to address their unique needs?
Giants 400 | Oct 24, 2017
Top 160 reconstruction architecture firms
Gensler, Jacobs, and Stantec top BD+C’s ranking of the nation’s largest reconstruction sector architecture and AE firms, as reported in the 2017 Giants 300 Report.
Giants 400 | Oct 20, 2017
Top 40 sports architecture firms
Populous, HOK, and HKS top BD+C’s ranking of the nation’s largest sports sector architecture and AE firms, as reported in the 2017 Giants 300 Report.
Giants 400 | Oct 19, 2017
Race for talent drives office designs
Is the shift toward attracting younger workers too much or not enough?
