Nonresidential construction index hits record high

FMI's nonresidential construction index improved two points to 60.1 for the second quarter, but concerns remain about the effects of sequestration on public and private construction.

05/24/2013


FMI announced the release of the 2013 Second Quarter Nonresidential Construction Index report. The NRCI score of 60.1 is a 2-point improvement over Q1 and the highest score for the NRCI index since its inception in Q1 2009. 

This isn’t a bullish trend yet, but it demonstrates that the nonresidential construction market continues to push upward. The index for the overall economy rose 7.9 points and the combined index sentiment for economies where panelists are doing business rose 5.8 points. Current issues for the Q2 NRCI include the effects of sequestration on public and private construction. The majority of the respondents expect only a 0% to 4% reduction in their public works projects due to sequestration. 

Panelists for this quarter’s NRCI also responded to questions about potential labor shortages after losing more than 30% of the construction labor force during the recession. The majority of panelists reported few labor shortages at this time. Looking at a year from now, 22% of panelists expect severe shortages for construction laborers, as well as shortages for select tradespeople. 



No comments
Consulting-Specifying Engineer's Product of the Year (POY) contest is the premier award for new products in the HVAC, fire, electrical, and...
Consulting-Specifying Engineer magazine is dedicated to encouraging and recognizing the most talented young individuals...
The MEP Giants program lists the top mechanical, electrical, plumbing, and fire protection engineering firms in the United States.
Pump technology design: Selecting pumps and pipes; Class A office buildings; NFPA 101-2015; ASHRAE 90.1 updates; Motors, drives, and HVAC efficiency
Renewable power systems: Designing a net zero energy building; NFPA 37; Data center design; Lighting systems
Salary survey: How much are you worth?; Dedicated outdoor air systems; Energy models and lighting
Understanding transfer switch operation; Coordinating protective devices; Analyzing NEC 2014 changes; Cooling data centers
Designing positive-energy buildings; Ensuring power quality; Complying with NFPA 110; Minimizing arc flash hazards
Implementing microgrids: Controlling campus power generation; Understanding cogeneration systems; Evaluating UPS system efficiency; Driving data center PUE, efficiency
As brand protection manager for Eaton’s Electrical Sector, Tom Grace oversees counterfeit awareness...
Amara Rozgus is chief editor and content manager of Consulting-Specifier Engineer magazine.
IEEE power industry experts bring their combined experience in the electrical power industry...
Michael Heinsdorf, P.E., LEED AP, CDT is an Engineering Specification Writer at ARCOM MasterSpec.