News & Opinions
The latest news and insights from Hanley Wood’s outspoken experts and key thought-leaders throughout the residential and commercial design and construction industry.
Jeff Leieritz / Associated Builders and Contractors, Inc / August 4, 2014
Washington, D.C. – Associated Builders and Contractors (ABC) Chief Economist Anirban Basu, American Institute of Architects (AIA) Chief Economist Kermit Baker and National Association of Home Builders (NAHB) Chief Economist David Crowe provided a collaborative economic forecast today combining their expert economic analysis on leading, present and lagging economic indicators.
“A combination of low interest rates; wealth effects stemming from a booming stock market and rising home prices; surging energy production; and expanding industrial output has helpedRead More
ABC, Inc. / August 1, 2014
Nonresidential construction spending fell in June after posting significant growth during the prior two months, according to the Aug. 1 release from the U.S. Census Bureau. Nonresidential construction spending fell 2.8 percent on a monthly basis in June, but has risen 4.6 percent on a year-over-year basis. Spending for the month totaled $588.8 billion on a seasonally adjusted, annualized basis, while the government revised the estimate for nonresidential construction spending in May from $596.2 billion to $605.6 billion.
“The monthly decline in spending should not be cause for significantRead More
Ken Simonton / Associated General Contractors
Construction market growth is projected to average between 6 and 10 percent per year in 2014 – 2017, according to Ken Simonton, economist for Associated General Contractors of America. In a recent Construction Market Outlook, Simonton provided an excellent macro-economic assessment of the landscape for commercial and residential developers and builders. Below are a few data points from the outlook. To view the entire report, click here.
- Total construction spending: +6% to +10% per year
- less SF housing, retail; declining public spending
- new drivers: shale-based
Lee Samaha / MotleyFool.com / November 18, 2013
While a lag between an increase in residential activity and commercial construction is only to be expected, it’s fair to say that the recovery in the latter has been somewhat disappointing in 2013. However, industry surveys and construction data are suggesting that commercial construction could be about to turn.
This chart compares U.S. new housing starts to how many months’ supply of new houses the U.S. has. The lines should mirror each other, because if the housing market is seeing strengthening demand, then the months supply of housing available (blue line) shouldRead More