Economy: Page 2

  • In an aerial view, the groundwork for apartments is seen undergoing construction on March 19, 2024 in Austin, Texas
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    Brandon Bell/Getty Images via Getty Images
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    Economic Reports

    Construction spending slips due to weather, interest rates

    Monthly spending was down in 15 of 16 nonresidential categories, but on an annual basis, all sectors are still positive.

    By • April 2, 2024
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    franckreporter via Getty Images
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    Office real estate value likely to plunge 26% through 2025: Moody’s

    An above-average amount of commercial real estate debt will soon mature and property owners will need to refinance at the highest rates in years, Moody’s said.

    By Jim Tyson • March 25, 2024
  • Construction site Explore the Trendline➔
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    sandsun via Getty Images
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    Trendline

    Top 5 stories from Ellajon

    Ellajon editors curate some of the industry’s top stories from this year.

    By Ellajon staff
  • A construction worker welds rebar
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    Panupong Piewkleng via Getty Images
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    Economic Reports

    Construction starts plunge 8% as Fed toes line on rates

    January’s manufacturing gains were wiped away as the prolonged impact of higher interest rates and labor issues caught up with the sector.

    By • March 21, 2024
  • In an aerial view, construction continues around the retired NASA Space Shuttle Endeavour at the California Science Center on February 14, 2024 in Los Angeles.
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    Mario Tama/Getty Images via Getty Images
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    Economic Reports

    Input price surge signals bumpy road ahead

    “There is reason to believe that inflation will remain stubbornly high for months to come,” said ABC’s chief economist.

    By • March 15, 2024
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    Tom Shaw via Getty Images
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    Balfour Beatty’s 2023 profits dip on investments

    CEO Leo Quinn nonetheless predicted growth in coming years as the London-based contractor capitalizes on shifts in the U.S. market.

    By • March 14, 2024
  • Construction workers help build a mixed-use apartment complex which will hold over 700 units of apartment housing and 95,000 square feet of commercial space on January 25, 2024 in Los Angeles
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    Mario Tama/Getty Images via Getty Images
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    Economic Reports

    Inflation, interest rates contribute to backlog dip

    Higher borrowing costs may stick around for longer than anticipated, which could upset economic momentum, said Anirban Basu, ABC chief economist.

    By • March 12, 2024
  • Construction workers help build a mixed-use apartment complex which will hold over 700 units of apartment housing and 95,000 square feet of commercial space on January 25, 2024 in Los Angeles, Califor
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    Mario Tama/Getty Images via Getty Images
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    Economic Reports

    Office sector drags down construction planning

    Nonresidential planning slowed as workers continue to log in from home, but most other categories showed growth, according to Dodge Construction Network.

    By • March 8, 2024
  • Two construction workers ride a lift underneath a rusty bridge.
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    Joe Raedle via Getty Images
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    Economic Reports

    Weather, financing woes end 19-month construction spending streak

    Despite the drop, contractor confidence remains high for the near term, according to Associated Builders and Contractors.

    By • March 4, 2024
  • A ship transits the Suez Canal towards the Red Sea on January 10, 2024 in Ismailia, Egypt.
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    Sayed Hassan via Getty Images
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    Supply chain headaches persist 4 years into pandemic

    As the fourth anniversary of COVID-19’s arrival in the U.S. nears, contractors are still dealing with challenges around materials pricing and availability.

    By Shefali Kapadia • Feb. 29, 2024
  • A Wells Fargo flag flies in front of a Wells Fargo bank branch.
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    Justin Sullivan via Getty Images
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    Wells Fargo CFO calls commercial real estate a ‘long movie’

    The office market is under the most pressure, the bank’s finance chief Michael Santomassimo said on Monday.

    By Maura Webber Sadovi • Feb. 28, 2024
  • Tampa, Florida, skyline is pictured at dusk
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    Sean Pavone via Getty Images
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    Regional Report

    Tampa’s sunny construction market has builders feeling good

    Contractors in Tampa — a big city with a small town feel — reap the benefits of one of the fastest-growing metros in the U.S.

    By • Feb. 27, 2024
  • A construction worker helps build a mixed-use apartment complex which will hold over 700 units of apartment housing and 95,000 square feet of commercial space on January 25, 2024 in Los Angeles.
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    Mario Tama/Getty Images via Getty Images
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    Economic Reports

    Construction starts flatline even as manufacturing accelerates

    Expected interest rate cuts in the second half of 2024 should spur more groundbreakings as the year progresses, according to Dodge.

    By • Feb. 23, 2024
  • Three construction workers are in the middle background, surrounded by work on a large construction site.
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    Drazen_ via Getty Images
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    9 of the top contech deals of 2023

    Autonomous drone technology, metal reclamation and modular construction topped the list of the biggest contech funding rounds last year.

    By • Feb. 21, 2024
  • Construction workers help build a mixed-use apartment complex which will hold over 700 units of apartment housing and 95,000 square feet of commercial space on January 25, 2024 in Los Angeles
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    Mario Tama/Getty Images via Getty Images
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    Economic Reports

    Input prices rise after 3 months of decline

    The first increase since September highlights the ongoing presence of material price volatility, said Anirban Basu, Associated Builders and Contractors’ chief economist.

    By • Feb. 20, 2024
  • An elevated view of a crane over a tower under construction.
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    Permission granted by Samet Corp.
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    Q&A

    Slowdown ahead due to interest rates, GC exec says

    As people move to the Southeast, Samet Corp. has seen an increase in demand for multifamily and public projects, according to CFO Doug Beane.

    By • Feb. 14, 2024
  • Header image for "Whipping Inflation May Require Chancing a Recession"
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    Getty Images via Getty Images
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    Inflation edges up, pushing back forecast of first Fed rate cut

    Futures traders now see a 52% probability that policymakers in June will cut the federal funds rate from its current peak level between 5.25% and 5.5%.

    By Jim Tyson • Feb. 14, 2024
  • Construction workers talking
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    kali9 via Getty Images
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    Economic Reports

    Backlog dips again amid tight lending conditions

    The heavy industrial sector saw large gains, while institutional and infrastructure segments dropped.

    By • Feb. 14, 2024
  • A rendering of an office building in Dallas
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    Permission granted by Goldman Sachs
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    Regional Report

    Dallas bucks national office construction slump

    The city leads the U.S. in office space under construction, according to commercial real estate services firms Cushman & Wakfield and CBRE.

    By • Feb. 9, 2024
  • Rendering of the $224 million DOE research facility on the east side of its South Table Mountain Campus in Golden, Colorado,
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    Permission granted by National Renewable Energy Laboratory
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    Construction planning inches higher despite commercial weakness

    Though Dodge Construction Network expects momentum to pick back up in the second half, private project planning remains challenged by a difficult financing environment.

    By • Feb. 9, 2024
  • An American flag flies from a crane as construction worker helps build a mixed-use apartment complex in Los Angeles.
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    Mario Tama/Getty Images via Getty Images
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    Economic Reports

    Public construction spending soars, but private projects still face hurdles

    Highway and street projects are flush with cash, but high interest rates, labor shortages and regulatory delays are weighing on commercial projects.

    By • Feb. 2, 2024
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    Danielle Ternes/Ellajon
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    The Dotted Line: Legal trends to watch in 2024

    Contracts are evolving in an era of persisting supply chain problems, inflation and cyber risks, construction attorneys say.

    By • Jan. 30, 2024
  • Aerial view of Georgia-Pacific's manufacturing plant in Jackson, Tennessee
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    Permission granted by JE Dunn
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    Ellajon

    Why contractors are still all in on manufacturing projects

    Despite the sector’s recent deceleration in starts, firms with factory construction specialization are scaling up for more demand.

    By • Jan. 29, 2024
  • A UAW picket sign is pictured, with a neon yellow mesh vest (with neon orange stripes and light-reflective strips) tossed over it
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    Luke Sharrett via Getty Images
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    Union approval at a record high, despite falling rates

    While the percentage of the workforce that is unionized is declining, “membership is growing in value,” a Gallup report indicated.

    By Caroline Colvin • Jan. 29, 2024
  • A construction worker welds rebar
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    Panupong Piewkleng via Getty Images
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    Contractors should brace for weaker conditions: AIA

    On the heels of “surprisingly strong” performance in 2023, a new report predicts that declining property values, tighter credit and higher input costs will hamstring growth this year and next.

    By • Jan. 26, 2024
  • Construction engineers discussion with architects at construction site
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    sorn340 via Getty Images
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    What contractors need to know for 2024

    It’s anyone’s guess what will happen in the next 12 months, but these insights from construction pros can help bring the year into focus.

    By Ellajon Staff • Jan. 25, 2024