At a seasonally adjusted annual rate of $421.3 billion, new construction starts in November fell 5% from the previous month, according to McGraw-Hill Construction, a division of The McGraw-Hill Cos. The downturn came as the result of decreased activity for public works, following this sector’s elevated amount in October. Meanwhile, both nonresidential building and housing registered modest growth in November. During the first 11 months of 2012, total construction starts on an unadjusted basis were reported at $424.4 billion, up 3% compared to the same period a year ago.The November data lowered the Dodge Index to 89 (2000=100), down from
Billings at architecture firms across the country continue to increase. As a leading economic indicator of construction activity, the Architecture Billings Index (ABI) reflects the approximate nine- to 12-month lag time between architecture billings and construction spending. The American Institute of Architects reported the November ABI score was 53.2, up from the mark of 52.8 in October. This score reflects an increase in demand for design services (any score above 50 indicates an increase in billings). The new projects inquiry index was 59.6, up slightly from the 59.4 mark of the previous month. “These are the strongest business conditions we have
A new partnership between the University of Colorado Boulder’s Leeds School of Business and the College of Engineering and Applied Science, spurred by a gift, will have positive implications for the construction and real estate industries. The gift of $285,000, from alumnus Dan Ivanoff and his wife Laurie, supports the creation of a construction management track within the MBA program in the Leeds School, as well as opens the door for graduate construction engineering and management students to take associated business classes. The new program is slated to begin in fall 2013. “The Ivanoff gift creates a powerful collaboration and cross-campus
Careful construction industry people (and others) may want to make the following New Year's resolutions for 2013 (perhaps to help avoid attorneys’ fees): • Resolve to make all reasonable efforts to settle disputes directly with the other party—and leave your attorney out of it;• Resolve to carefully document every event that might give rise to a claim or dispute through letters, archived e-mails, meeting notes and communications, dated photographs and, if applicable, videos, Tweets and other social media.• Resolve to watch out for deadlines such as completion dates, times for asserting mechanic’s liens or verified claims or statutes of limitations,
Construction employment declined by 20,000 jobs in November while the industry's unemployment rate hit 12.2%, according to an analysis of new federal data recently released by the Associated General Contractors of America. The construction employment figures likely reflect the fact many contractors have already cut staff and delayed hiring new employees because of the threat of the “fiscal cliff,” according to results of a survey of member firms the association also released by AGC. “It is discouraging that construction employment is still struggling after more three years of expansion in the overall economy,” said Ken Simonson, the association's chief economist.
Construction materials costs dropped in November, aided by a plunge in diesel prices along with smaller decreases in a variety of other inputs, according to an analysis of new federal figures recently released by the Associated General Contractors of America. Association officials noted that some of the price declines may be related to the fact that the threat of the fiscal cliff is already having an impact on demand for construction and related materials. “The recent price decreases are very welcome after years of price spikes that contractors could not pass on in a weak construction market,” said Ken Simonson,
Litigation over CityCenter’s half-built, never-opened Harmon Hotel on the Las Vegas Strip will stretch into 2014 as result of Clark County District Eight Court Judge Elizabeth Gonzalez’s recent order reversing prior demolition approval. The case to resolve defects with the $275-million, oval-shaped glass tower had been set for June 2013. Photo by Bill Hughes Harmon Hotel was part of the $8.5-billion, 18-million-sq-ft CityCenter complex, which opened in Dec. 2009 on the Las Vegas Strip. Photo by Bill Hughes Trial dates are set for June 2013 and Jan. 2014 for construction defect claims and payment issues over Harmon Hotel. Related Links:
The team designing and delivering the Ralph L. Carr Colorado Judicial Center has delivered the project two months earlier than originally anticipated. Developed by Trammell Crow Company, designed by Fentress Architects and built by Mortenson Construction, all of Denver, the $258-million, 695,767-sq-ft Colorado Judicial Center includes a courthouse and a 12-story office tower, which will become the home of the state’s judicial and legal agencies. A 327-space parking facility was also constructed on the block to the south, adjacent to the History Colorado Center. Photo Bryan Lopez Colorado Judicial Branch The iconic LEED-Gold Ralph L. Carr Colorado Judicial Center was
Multifamily property developer Wood Partners has broken ground on Alta City House, a five-story, 281-unit luxury apartment community in the heart of the bustling Union Station neighborhood, one of the most ambitious and closely watched urban redevelopment projects in the nation. Rendering by Norris Design The five-story, 281-unit luxury Alta City House will be built at 1801 Chestnut St., just west of the Denvers historic Union Station located at 17th and Wynkoop streets. Wood Partners and East West Partners, developer of Riverfront Park and the Union Station district, obtained financing for the $62-million project from USAA Real Estate Co. Alta
All major segments of construction spending increased in October, bringing total spending to a 37-month high at an annualized rate of $872 billion, according to an analysis of new federal data recently released by the Associated General Contractors of America. Association officials warned, however, that the “fiscal cliff” imperils future improvement in both public and private spending.“Widespread gains in spending in October, along with hefty upward revisions to estimates for the previous two months, show that construction has finally come out of its long slump,” said Ken Simonson, the association’s chief economist. “Although all major spending categories are far below
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