FM Cost Trends

07/01/2015 |

Housing Starts Are Driving Construction in 2015

Housing construction is showing gains of 15-20% so far this year. Housing starts are up to more than 1 million (adjusted) and showing signs of sustainable momentum. This bodes well for the rest of the construction industry, which traditionally lags housing activity by two years. Commercial construction should show gains this year in the 5-10% range, with certain segments such as hotels and offices leading the way. Institutional construction is mixed, with schools and hospitals down from last year.

Increases in construction materials prices are moderating. Many economists believe that we are entering a period of soft commodity prices. Currently, overall prices are up about 2% compared to 2014, but not across the board. Labor is up 1.6%.

Sooner or later the price of iron ore affects steel. Prices for hot rolled steel bar have been sliding downward since 2011 and are likely to continue sliding through 2015. Outpacing prices for construction materials generally, concrete block (CMU) is showing increases this year in the 3-4% range. After dipping and flattening out last year, crushed stone prices have turned upward. After lows in 2010, glass has moved consistently with the fortunes of construction. Glass is up 8% over the last 5 years for a consistent average of 1.6% increases annually. Although precast concrete had a price spike in the third quarter of 2014, prices have moderated since then. Gains will likely be in a 2-3% range in 2015.


view larger
  
view larger


view larger
  

view larger


view larger
  

view larger

For more facilities cost data, visit the BUILDINGS bookstore at www.bnibuildings.com.
Additional building case studies are available at DCD.com

 

Connectrac® wireways are the new standard for bringing power & communications cable management to all interior applications. Free yourself from core drilling!

Surpass State Energy Requirements with Dual-Cooling Data Center CRAC Technology

See how professionals like you are taking advantage of the highest performing precision cooling system for their computer rooms and data centers, and why Data Aire is fast-becoming the number one choice for facility managers and building owners looking to decrease their energy consumption. 

Data Aire understands how digital technology and data gravity is rapidly impacting and transforming businesses. That’s why they developed ultra-efficient cooling technology to support the most modern (and not-so-modern) data centers.  Learn how One Wilshire in Los Angeles, one of the most advanced carrier hotels today, is surpassing California's strict energy efficiency requirements with Data Aire’s purpose-built system, which provide full-economization for 260 days – almost 72% of the year. That’s a measurable savings! Furthermore, the projected PUE on an annual basis for a full load is at or below 1.2.

Connectrac® wireways are the new standard for bringing power & communications cable management to all interior applications. Free yourself from core drilling!

Surpass State Energy Requirements with Dual-Cooling Data Center CRAC Technology

See how professionals like you are taking advantage of the highest performing precision cooling system for their computer rooms and data centers, and why Data Aire is fast-becoming the number one choice for facility managers and building owners looking to decrease their energy consumption. 

Data Aire understands how digital technology and data gravity is rapidly impacting and transforming businesses. That’s why they developed ultra-efficient cooling technology to support the most modern (and not-so-modern) data centers.  Learn how One Wilshire in Los Angeles, one of the most advanced carrier hotels today, is surpassing California's strict energy efficiency requirements with Data Aire’s purpose-built system, which provide full-economization for 260 days – almost 72% of the year. That’s a measurable savings! Furthermore, the projected PUE on an annual basis for a full load is at or below 1.2.


Related Coverage