...to loosen up, but most are still in place. In the public sector, the impact of the lagging tax-revenue shortfalls has yet to hit.” Harvard was one of the highest-profile private universities to suffer, reporting an $8-billion loss in its endowment in December—roughly 22% of its entire investment.

In April, JE Dunn was selected as construction manager to build the new $35-million University of Kansas School of Pharmacy in Lawrence, Kan. The Los Angeles office PCL Construction Services Inc. is working on a $118-million design-build student housing project for California State University, Fullerton, which was awarded in September 2008.

As with the education sector, public projects generally look more viable than private ones in the health-care market. Robert Van Cleave, chairman and CEO of Balfour Beatty Construction, Dallas, says his firm saw some of its health-care projects put on hold after the bond market suffered in late 2008. However, the company in April was selected as part of a joint-venture team to manage construction of the Parkland Replacement Hospital in Dallas. The $1.2-billion 1.9-million-sq-ft facility is scheduled to break ground in 2010 and be completed in 2014. “Raising cash is tough and it takes courage to move ahead in this market, but some are realizing they can get a lot for their dollar these days,” Van Cleave says.

Still, some major private work is moving ahead. McCarthy in May broke ground on a $430-million replacement hospital in Fontana, Calif., for Kaiser Permanente. Main elements include a 481,000-sq-ft hospital, a 50,000-sq-ft support building and a 23,000-sq-ft central utility plant.

Skanska in June was awarded a $220-million construction manager at-risk contract to build the 630,000-sq-ft Nemours Children’s Hospital in Orlando, and a $134-million contract in May to build a new 970,000-sq-ft hospital in Hopewell, N.J., for Capital Health.

Seeking Stimulus

Federally funded work is drawing significant interest, especially following the passage of the American Recovery and Reinvestment Act. Although transportation projects have seen an influx of money, contractors are eyeing limited funds for major general building projects.

In some cases, the money has funded projects that already were in the pipeline. Gilbane and Grunley Construction Co. Inc., Rockville, Md., were awarded a $158-million contract for the 311,000-sq-ft second-phase modernization of the Commerce Dept.’s Herbert C. Hoover Building in Washington, D.C. The joint venture currently is completing the $40-million first phase of the eight-phase project. The second phase was unfunded until passage of ARRA.

Clark Construction Group, Bethesda, Md., is leading a team that was awarded a $435-million design-build contract for the new U.S. Coast Guard headquarters building in Washington, D.C. The project includes a 1.2-million-sq-ft building and a 1,000-car parking garage on the 4.5-million-sq-ft Homeland Security campus at the former St. Elizabeths Hospital site, will be partially funded by stimulus funds. The project is scheduled for completion in 2013.

Other major stimulus work on the radar for top firms includes $563 million for a new hospital at Camp Pendleton in California and $621 million for a new hospital at Fort Hood in Texas.

Although military construction work funded under the Base Realignment and Closure Act is set to wrap up by September 2011, some new projects continue to go out for bid. Turner subsidiary Tompkins Builders Inc., Arlington, Va., in April won a $90-million contract for the 264,000-sq-ft Training and Doctrine Command Headquarters at 9,000-acre Fort Eustis in Virginia, home of the U.S. Army Transportation Corps.

Although some substantial projects are moving forward, it is unclear what the future may bring. Gilbane’s Potter says major firms have benefited greatly from the number of megaprojects launched in recent years, but those opportunities could give way to more moderate-sized jobs in the coming years.

“The substantial-sized projects you have seen in the past are well suited to our capabilities and others like us in the marketplace, but those [projects] are vulnerable in this environment,” Potter says. “It will be an interesting recovery, seeing if those [megaprojects] rebound.