+ Image Source: McGraw-Hill Construction Analytics. Construction Contract Value Cumulative Year-To-Date Through December 2009. McGraw-Hill Construction Starts It’s “official”: 2009 was a really bad year. The dollar value of new construction starts last year fell 26%, according to McGraw-Hill Construction’s December data. This follows annual declines of 13% in 2008 and 7% in 2007. Adding a new twist to the downward cycle was a 33% decline in the non-residential building market, which was even deeper than the 31% decline registered by the home building market. Despite a massive influx of stimulus spending, the non-building market finished last year 9% below
The market is generally healthy and steadily growing, and margins are up for large specialty contractors. Further, advances in design tools and owner demand for collaboration are giving subcontractors a seat at the table early on in projects.