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
| Jun 3, 2013
6 residential projects named 'best in housing design' by AIA
The Via Verde mixed-use development in Bronx, N.Y., and a student housing complex in Seattle are among the winners of AIA's 2013 Housing Awards.
| Jun 3, 2013
Trifecta of awards recognize Vision/Rubenstein campus, Bayer Healthcare HQ
When Vision Equities, LLC and Rubenstein Partners purchased the 200-acre former Alcatel-Lucent campus in Whippany a little more than two years ago, the partnership recognized the property’s potential to serve as a benchmark infill revitalization for the State of New Jersey.
| May 31, 2013
Nation's first retrofitted zero-energy building opens in California
The new training facility for IBEW/NECA is the first commercial building retrofit designed to meet the U.S. Department of Energy’s requirements for a net-zero energy building.
| May 30, 2013
The Make It Right squabble: ‘How many trees did you plant today?’
A debate has been raging in the blogosphere over the last few months about an article in The New Republic, “If You Build It, They Might Not Come,” in which staff writer Lydia DePillis took Brad Pitt’s Make It Right Foundation to task for botching its effort to revitalize the Lower Ninth Ward of New Orleans.
| May 30, 2013
5 tips for running a successful BIM coordination meeting
BIM modeling tools are great, but if you can't run efficient, productive coordination meetings, the Building Team will never realize the benefits of true BIM coordination. Here are some helpful tips for making the most of coordination meetings.
| May 29, 2013
Realtors report positive trends in commercial real estate market
Realtors who practice commercial real estate have reported an increase in annual gross income for the third year in a row, signaling the market is on the road to recovery.
| May 29, 2013
6 award-winning library projects
The Anacostia Neighborhood Library in Washington, D.C., and the renovation of Cass Gilbert’s grand Beaux-Arts library in St. Louis are among six projects to be named 2013 AIA/ALA Library Building Award winners.
| May 28, 2013
LED lighting's risks and rewards
LED lighting technology provides unique advantages, but it’s also important to understand its limitations for optimized application.
| May 28, 2013
Minneapolis transit hub will double as cultural center [slideshow]
The Building Team for the Interchange project in downtown Minneapolis is employing the principles of "open transit" design to create a station that is one part transit, one part cultural icon.
| May 24, 2013
James Turrell's art installation turns Guggenheim Museum into 'skyspace'
James Turrell, an artist whose projects are more properly defined as "light sculptures," will have a major installation at the Guggenheim Museum this summer, turning Frank Lloyd Wright's famed serpentine atrium into a show of shifting colors and textures. The site-specific project, Aten Reign, will run from June 21 to September 25.
