Construction Recovery? Maybe Not
The Real Estate Desk Aug. 24, 2010, 10:32 a.m.
All is not well in the construction industry.
The New York Building Congress is out today with a new report showing that the second quarter of the year was the worst for the industry in years, registering just $2.5 billion in new construction project starts. The same period last year—in the midst of the cold winter for the struggling industry—saw $4.4 billion in new starts, according to the Building Congress numbers.
This all comes after the numbers seemed to suggest a turnaround from last year, when new projects were nowhere to be found. The first quarter of 2010 showed a healthy $6.9 billion in new starts, giving optimism to unemployed hard hats.
In a statement, Building Congress President Richard Anderson was less than cheery: “The second quarter numbers are clearly disappointing – especially coming on the heels of two relatively impressive quarters. … While this poor showing could simply be a pause on the road to recovery, it demonstrates that demand is not yet sufficient to kick-start residential and office development.”
Full report here.