After the crash, there was literally a front page article every single day in all the newspapers for 18-months straight, needless to say, no one was interested in building, purchasing, or even pulling permits on new projects. Well, it looks like we have finally turned a corner.
Meaning that many of the articles we are reading concerning the Construction Business, about contractors, construction management, or construction trends is somewhat positive. Manufacturing of construction equipment is up, and there are several recent significant scale developments, other than the recognized stimulus (so-called shovel ready projects) moving forward.
The government statistics show us moving forward at the end of Q2 in 2010, as construction spending was up sharply in April of 2010 over the previous month of March, and get this it was up 2.7% over all. Residence Construction projects put forth spending exceeding 4.5% over the exact same time period. Obviously, the national US trends are distinct than the most battered states, but all regions showed improvement, meaning the trend stands, and momentum is building, literally, we are building again.
The construction was really across the board this time, new factories, facilities, roads, infrastructure, homes, shopping malls, commercial properties, retail, etc. This recent uptick is by far the greatest gains in a single month I’ve seen in over 10-years, it’s really remarkable, practically to the point of questioning the numbers, but we see things are quite excellent in fairly a couple of industries. We’ve been down month to month one to 4 percent nearly all of 2008, 2009 and the 1st quarter of 2010 for the most component.
It is fascinating that with all this excess capacity of space; retail and commercial office space that we have such an uptick in construction proper now. This means jobs, and growth, it’s a very good thing. Most are not expecting any sort of full recovery until 2011, and yet, we certain see some positive signs in construction proper now. The Construction Business is also having mixed views on confidence levels whereas before it was all doom and gloom.
The trick now is managed growth, which appears to be expected due to the difficulty in getting construction loans now. And by 2011 we will see the interest rates move up once more, perhaps keeping things in check. These days, we can smile, and contemplate these positive signs and by Q4 we will know if this is a trend or just a blip on the radar. Please think about all this.
Lance Winslow is a retired Founder of a Nationwide Franchise Chain, and now runs the On the internet Think Tank. Lance Winslow believes all concrete ought to be clean; http://www.concretewashguys.com.
Note: All of Lance Winslow’s articles are written by him, not by Automated Software, any Computer Program, or Artificially Intelligent Software. None of his articles are outsourced, PLR Content or written by ghost writers.