Gilbane Building Company today announces the publication of the Winter 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.
According to the report, margins are up a slim 1% to 2% year over year for 2012. Once 2013 growth in nonresidential work picks up and both residential and nonresidential are active, the industry may begin to see some labor shortages and productivity losses, which will push up escalation. Also, as it did in 2012, even moderate growth in activity will allow contractors to pass along more material costs and increase margins.
Potential impact of recent events:
- According to the Associated General Contractors (AGC), Hurricane Sandy may not add any economic impact to the construction industry. For the most part, any funds directed to reconstruction will be diverted from some other potential or previously planned construction project and will be spread over a long time span.
- Bond issues considered in the recent elections amount to just over half ($30+ billion) of what was approved in 2008 elections ($60+ billion), signaling a reduction in publicly funded work.
- At the recent McGraw Hill Outlook conference, none of the economists expect the fiscal cliff to happen. However, sequestration or the compromises agreed upon will likely reduce funds available for federal and public projects.
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
Airports | Sep 23, 2015
JFK Airport's dormant TWA terminal will be reborn as a hotel
After 15 years of disuse, the Googie architecture-inspired TWA Flight Center at New York’s John F. Kennedy International Airport will be transformed into a hotel. Gizmodo reports that the city’s Port Authority chose a renovation proposal from Jet Blue this week.
Architects | Sep 23, 2015
Architecture billings dip in August, but no 'cause for concern' says AIA economist
The American Institute of Architects reported the August ABI score was 49.1, down from a mark of 54.7 in July. This score reflects a slight decrease in design services.
Sports and Recreational Facilities | Sep 21, 2015
Tokyo Olympic Stadium saga ends for Zaha Hadid
After resubmitting a bid, the firm will not design the main venue for the 2020 Olympics after all.
University Buildings | Sep 21, 2015
6 lessons in campus planning
For campus planning, focus typically falls on repairing the bricks and mortar without consideration of program priorities. Gensler's Pamela Delphenich offers helpful tips and advice.
Museums | Sep 21, 2015
Ma Yansong and Jeanne Gang revise Chicago lakefront Lucas Museum
New renderings of the proposed Lucas Museum show a scaled-down building on more green space.
Designers | Sep 21, 2015
Can STEAM power the disruptive change needed in education?
Companies need entrepreneurial and creative workers that possess critical thinking skills that allow them to function in collaborative teams. STEAM (science, technology, engineering, arts, and mathematics) education might be the solution.
Giants 400 | Sep 17, 2015
CONVENTION CENTER SECTOR GIANTS: Gensler, AECOM, Turner top rankings of nation's largest convention/events sector AEC firms
BD+C's rankings of the nation's largest convention/events sector design and construction firms, as reported in the 2015 Giants 300 Report.
Giants 400 | Sep 17, 2015
AIRPORT SECTOR GIANTS: KPF, Hensel Phelps, Jacobs top rankings of nation's largest airport terminal sector AEC firms
BD+C's rankings of the nation's largest airport terminal sector design and construction firms, as reported in the 2015 Giants 300 Report.
Museums | Sep 16, 2015
First look: Diller Scofidio + Renfro's The Broad museum in Los Angeles
LA's newest art museum combines gallery space and collection storage based around two design concepts: the veil and the vault.
Giants 400 | Sep 15, 2015
HOTEL SECTOR GIANTS: Gensler, AECOM, Turner among nation's largest hotel sector AEC firms
BD+C's rankings of the nation's largest hotel sector design and construction firms, as reported in the 2015 Giants 300 Report.
