Reed Construction Data announced its December Expansion Index stood at 1.48, indicating overall construction in the United States is expected to grow over the next 12 months.
“The positive signs of growth are encouraging and align with other economic data,” said Bernard Markstein, U.S. Chief Economist, Reed Construction Data. “With an Expansion Index greater than 1 in 41 states plus the District of Columbia, the expected improvement in construction appears widespread across the country.” The top five states expected to see an expanding construction market: North Dakota, Rhode Island, Montana, Virginia, Utah.
The Expansion Index is a monthly measure of expectations for the construction marketplace over the upcoming 12-18 months, based on the value of projects in the planning pipeline. A reading greater than 1 indicates construction volume is expected to expand.
In addition to an overall measure of U.S. construction, Reed uses the Expansion Index to track expected construction volume for every state and more than 360 Metropolitan Statistical Areas.
According to Markstein, multiple factors are supporting the positive signal.
“Many pieces are falling into place for a moderately faster-growing economy,” stated Markstein. “Companies are experiencing rising demand. A federal budget deal was signed into law. Residential construction continues to improve. Europe is slowly working its way out of recession. These and other positives mean the Reed Expansion Index is likely to remain well above 1 for several months–an indication that construction activity will rise throughout the year.”
The Expansion Index is a ratio of the value of projects in the planning phase over the value of the projects estimated to be still under construction in a defined geography and/or building segment. The relationship says if more in the pipeline than underway, the volume will increase in the future if that ratio is greater than 1. The data covered includes non-residential and multifamily residential construction.
To view the Expansion Index, visit www.reedconstructiondata.com/market-intelligence/expansion-index.
20 Fastest-growing MSAs | |
---|---|
MSA | EI rating |
Duluth, MN-WI Durham, NC El Centro, CA Evansville, IN-KY Flagstaff, AZ Flint, MI Grand Forks, ND-MN Greenville, NC Laredo, TX Logan, UT-ID Missoula, MT Muskegon-Norton Shores, MI Providence-New Bedford-Fall River, RI-MA Salem, OR Waterloo-Cedar Falls, IA Clarksville, TN-KY VA Beach-Norfolk-Newport News, VA-NC Columbia, MO Baton Rouge, LA Greensboro-High Point, NC |
>10 >10 >10 >10 >10 >10 >10 >10 >10 >10 >10 >10 >10 >10 >10 9.56 7.75 7.67 6.91 6.77 |
About Reed Construction Data
Reed Construction Data is a trusted source for detailed, accurate, and up-to-date information on private and public construction projects across the United States and Canada. Reed’s data collection teams leverage strong industry relationships, innovative technology, and third-party data sources to deliver timely and accurate information on projects, companies, and contacts and daily updates for all types of general and civil construction. For more information, visit www.reedconstructiondata.com.
Related Stories
Codes and Standards | Feb 6, 2015
Obama executive order requires federal construction projects to consider flood damage caused by climate change
To meet the new standard, builders must build two feet above the currently projected elevation for 100-year floods for most projects.
HVAC | Feb 6, 2015
ASHRAE, REHVA publish guide to chilled beam systems
The guide provides tools and advice for designing, commissioning, and operating chilled-beam systems.
Cultural Facilities | Feb 6, 2015
Under the sea: Manmade island functions as artificial reef
The proposed island would allow visitors to view the enormous faux-reef and its accompanying marine life from the water’s surface to its depths, functioning as an educational center and marine life reserve.
Contractors | Feb 6, 2015
Census Bureau: Capital spending by U.S. businesses increased 4.5%
Of the 19 industry sectors covered in the report, only one had a statistically significant year-to-year decrease in capital spending: the utilities sector.
Warehouses | Feb 5, 2015
Self storage facility designed to blend in with Miami Beach's party scene
The plans by architect Gutierrez & Lozano are of a sleek, boutique-looking, 22,500-sf facility at the gateway to the city.
Sponsored | Designers | Feb 5, 2015
3D printing has people in the building and construction industry talking
How can 3D printing affect the building design and construction industry?
Cultural Facilities | Feb 5, 2015
5 developments selected as 'best in urban placemaking'
Falls Park on the Reedy in Greenville, S.C., and the Grand Rapids (Mich.) Downtown Market are among the finalists for the 2015 Rudy Bruner Award for Urban Excellence.
Architects | Feb 5, 2015
Toy around with Ittyblox's ultra-detailed building blocks
For Lego fanatics, time is no object when building a model. For those of us with a little less time, Ittyblox is a good solution.
Transit Facilities | Feb 4, 2015
London mayor approves plan for a bicycle highway
The plan will guarantee bike riders a designated stretch of street to ride from east to west through the city.
Sports and Recreational Facilities | Feb 4, 2015
Arup unveils plans for the new A.C. Milan stadium
The venue will include a modern stage for the home matches together with a hotel, sports college, restaurants, children’s playground, green areas, and spaces open to the city and dedicated to public use.