Industry Buzz-Breaking News and Trends for Construction Contractors
FMI First Quarter Outlook Sees Signs of New Life
In its first quarter 2014 outlook, industry consultant FMI predicts commercial construction will rise 7% to $52.6 billion—its highest mark since 2008—buoyed by rising consumer spending and non-store sales. But FMI cautions that "contractor pricing will continue to be a challenge." The office building market is "finally getting some traction," says FMI, with "fundamentals slowly improving." It sees 6% annual growth by 2017. Residential work will grow but at a slower pace, with "continued tapering in the long-range forecast," FMI says. The firm says the power sector will increase 5% to $91.2 billion, rising to 9% in 2017 and 2018. --Debra K. Rubin