WASHINGTON, D.C. — Even with many obstacles preventing a full-scale recovery for the overall U.S. economy, the design and construction industry appears to have reasons to be at least modestly optimistic in the coming months and into next year. A sharp spike in demand for industrial facilities so far this year, along with sustained demand for hotels and retail projects factors into what projects to be a 4.4 percent rise in spending this year for nonresidential construction projects — up from a projection of a 2.1 percent increase in the January Consensus Forecast. The American Institute of Architects semi-annual Consensus … Read more
Construction Spending Reaches Highest Level since December 2009
Construction spending in June rose to a 2-1/2 year high as double-digit percentage increases in private residential and nonresidential construction more than offset an ongoing downturn in public construction, according to an analysis of new federal data released by the Associated General Contractors of America. Association officials said they expect the disparity between private and public construction is likely to persist and urged policy makers to put more funding into infrastructure projects. “The June spending gains come on top of upward revisions to May and April totals, reinforcing the notion that private construction is now growing consistently,” said Ken Simonson, … Read more
AGC Releases Latest Construction Employment Data
Construction employment declined in 162 out of 337 metropolitan areas between June 2011 and June 2012, increased in 127 and stayed stagnant in 48, according to a new analysis of federal employment data released by the Associated General Contractors of America. Association officials said construction employment declined or remained unchanged in most metro areas as the public sector continued to cut back on investments in new construction and infrastructure and economic growth slowed. “The construction sector continues to shrink or stagnate in most metro areas as demand for new construction remains weak in too many places,” said Ken Simonson, the … Read more
AGC Analysis: "Construction Employment Rises in 25 States"
Construction employment increased in just half the states plus the District of Columbia from June 2011 to June 2012, but declined in a slim majority of states in the past month, according to an analysis of Labor Department data by the Associated General Contractors of America. “The latest state data show again how fragile and fragmentary the construction recovery is,” said Ken Simonson, the association's chief economist. “Although private sector demand for structures has risen in most states, improvement in single-family homebuilding is spotty and public investment is shrinking.” Simonson noted that 25 states and D.C. added construction jobs between … Read more
AIA Releases Latest Architecture Billings Index
WASHINGTON, D.C. — The Architecture Billings Index saw more poor conditions last month, indicating a drop in design activity at U.S. architecture firms, and suggesting upcoming weakness in spending on nonresidential construction projects. As a leading economic indicator of construction activity, the ABI reflects the approximate nine- to 12-month lag time between architecture billings and construction spending. The American Institute of Architects reported the June ABI score was 45.9, nearly identical to the mark of 45.8 in May. This score reflects a decrease in demand for design services (any score above 50 indicates an increase in billings). The new projects … Read more



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