Architecture Billings End Year on Positive Note

  • Posted on

WASHINGTON, D.C. – The Architecture Billings Index concluded the year in positive terrain, with the December reading capping off three straight months of growth in design billings. The American Institute of Architects reported the December ABI score was 52.9, down from a score of 55.0 in the previous month. This score still reflects an increase in design services provided by U.S. architecture firms (any score above 50 indicates an increase in billings). The new projects inquiry index was 61.9, up from a reading of 61.1 the previous month, while the new design contracts index decreased slightly from 53.2 to 52.7. … Read more

Filed under: Economic NewsTagged with: , ,

Deepening Labor Struggle Driving Future of Construction

  • Posted on

The construction labor shortage continues to deepen nationally, evident by a historically low unemployment rate of 4.5 percent. There has been minimal growth in the workforce over the last nine months, with no sign of an increase. Because of this, industry professionals can expect project timelines to be extended, wages to increase at a faster rate and all eyes focused on construction technology to offset these challenges. Despite this, the industry continued to hit a mature stage of economic expansion in the third quarter, according to a new report from JLL that tracks national construction trends. Construction spending was up … Read more

Filed under: Economic News, eNewsTagged with: , , , ,

Three-Quarters of Construction Firms Plan to Expand 2018 Headcount

  • Posted on

Seventy-five percent of construction firms plan to expand their payrolls in 2018 as contractors are optimistic that economic conditions will remain strong as tax rates and regulatory burdens fall, according to survey results released by the Associated General Contractors of America and Sage Construction and Real Estate. Despite the general optimism outlined in “Expecting Growth to Continue: The 2018 Construction Industry Hiring and Business Outlook,” many firms report they remain worried about workforce shortages and infrastructure funding. “Construction firms appear to be very optimistic about 2018 as they expect demand for all types of construction services to continue to expand,” … Read more

Filed under: Economic NewsTagged with: , , ,

Nonresidential Construction Spending Ticks Higher in November, Down Year-Over-Year, ABC Says

  • Posted on

WASHINGTON, D.C. – Nonresidential construction spending expanded .6 percent in November, totaling $719.2 billion on a seasonally adjusted basis, according to an Associated Builders and Contractors analysis of data released by the U.S. Census Bureau. Despite the month-over-month expansion, nonresidential spending fell 1.3 percent from November 2016. Private nonresidential construction spending is down 3.1 percent year-over-year, while public sector spending has increased 1.7 percent over the same period. Spending in the manufacturing and power categories, two of the larger nonresidential subsectors, fell by a combined $21.7 billion over the past year. “The November report represented a stark reversal of preexisting … Read more

Filed under: Economic NewsTagged with: ,

ABC Chief Economist Predicts Stable 2018 Construction Economy

  • Posted on

WASHINGTON, D.C. – Associated Builders and Contractors Chief Economist Anirban Basu predicts stability for the construction industry’s economy and expanding nonresidential construction spending in 2018. While construction project backlog and contractor confidence remain high heading into the new year, Basu warns there are risks to the 2018 outlook as a number of potential cost increases could come into play. “With wage pressures building, healthcare costs surging and fuel prices edging higher, inflation is becoming more apparent,” Basu said. “That could translate into some meaningful interest rate increases in 2018, which all things being equal is not good for construction spending. … Read more

Filed under: Economic NewsTagged with: , ,