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
| Feb 14, 2014
ASHRAE, Green Grid team up on energy-efficiency guide for data centers
Vendor-neutral publication examines aspects of the popular power usage effectiveness (PUE) metric.
| Feb 14, 2014
Scrap tires used to boost masonry blocks at Missouri University of S&T
Research could lead to blocks that use waste material and have seismic and insulating benefits.
| Feb 14, 2014
Giant interactive pinwheel adds fun to museum exterior
The proposed design for the Santa Cruz Museum of Art and History features a 10-foot pinwheel that can be activated by passersby.
| Feb 14, 2014
First look: Kentucky's Rupp Arena to get re-clad as part of $310M makeover
Rupp Arena will get a 40-foot high glass façade and a new concourse, but will retain many of its iconic design elements.
| Feb 14, 2014
Must see: Developer stacks shipping containers atop grain silos to create student housing tower
Mill Junction will house up to 370 students and is supported by 50-year-old grain silos.
| Feb 14, 2014
The Technology Report 2014: Top tech tools and trends for AEC professionals
In this special five-part report, Building Design+Construction explores how Building Teams throughout the world are utilizing advanced robotics, 3D printers, drones, data-driven design, and breakthroughs in building information modeling to gain efficiencies and create better buildings.
| Feb 14, 2014
Crowdsourced Placemaking: How people will help shape architecture
The rise of mobile devices and social media, coupled with the use of advanced survey tools and interactive mapping apps, has created a powerful conduit through which Building Teams can capture real-time data on the public. For the first time, the masses can have a real say in how the built environment around them is formed—that is, if Building Teams are willing to listen.
| Feb 13, 2014
University officials sound off on net zero energy buildings
As part of its ongoing ZNE buildings research project, Sasaki Associates, in collaboration with Buro Happold, surveyed some 500 campus designers and representatives on the top challenges and opportunities for achieving net-zero energy performance on university and college campuses.
| Feb 13, 2014
3 keys to designing freestanding emergency departments
Having physically disassociated from a central hospital, FEDs must overcome the particular challenges associated with a satellite location, namely a lack of awareness, appeal, and credibility. Gresham, Smith & Partners' Kristin Herman-Druc offers three keys to success.
| Feb 13, 2014
Why you should start with a builder
They say the best way to eat an elephant is one bite at a time. Expanding your building or constructing a new structure for your business, church, or school isn’t all that different. Attacking it is best done in small, deliberate pieces.
