Issue link: https://read.dmtmag.com/i/280108
52 • APRIL 2014 • WORLD FENCE NEWS The Dodge Report January construction slides 13 percent NEW YORK, N.Y. — The value of new construction starts fell 13% in January to a seasonally adjusted an- nual rate of $485.0 billion, according to McGraw Hill Construction, a divi- sion of McGraw Hill Financial. The downturn followed a healthy performance in December, which was the third highest month for total con- struction starts during 2013. January's retreat encompassed all three main construction sectors, with moderate declines reported for nonresidential building and housing, as well as a more substantial loss of momentum for nonbuilding construction (public works and electric utilities) after a par- ticularly robust December. On an unadjusted basis, total con- struction starts in January came in at $34.1 billion, down 5% from the same month a year ago. The January statistics lowered the Dodge Index to 103 (2000=100), com- pared to a revised 118 for December and below the average Index reading of 110 for all of 2013. "The year 2014 began slowly, due to behavior specific to each of the three main construction sectors," stated Robert A. Murray, chief econo- mist for McGraw Hill Construction. "Nonresidential building in 2013 ad- vanced 7%, but the progress was oc- casionally hesitant, including sluggish activity at the end of last year that car- ried over into January. "At the same time, the prospects for continued growth for nonresiden- tial building during 2014 are generally positive, helped by receding vacancies for commercial properties and some improvement in the fiscal health of state governments," he said. "Residential building in 2013 climbed 24%, but towards the end of last year growth began to decelerate as mortgage lending to first-time home- buyers remained stringent. The Janu- ary slowdown for housing was due in part to tough winter weather condi- tions, yet the deceleration in recent months bears watching going forward. "Nonbuilding construction in 2013 dropped 12%, as the steep pull- back by electric utilities outweighed surprising growth for public works," Murray said. "Last year's nonbuilding performance was also quite volatile on a month-to-month basis, including strong activity in December that's now been followed by a sharp reduction in January. With 2014 not likely to see the same volume of very large public works projects reach the construction start stage, nonbuilding construction is expected to register another decline this year, and January's downturn is part of that broader trend." Nonresidential building in January dropped 6% to $157.3 billion (annual rate), and was down 7% from last year's average monthly pace. The commercial building sector in January fell 13%, with declines from the prior month shown by hotels, down 43%; and warehouses, down 3%. Hotels and warehouses posted strong percentage growth during 2013, with each rising 29%, and the sluggish activity in January is viewed as a pause in what's expected to be contin- ued growth for both structure types during 2014. Cushioning the January decline for the commercial building sector was a 21% increase for office construction, helped by groundbreaking for such projects as a $125 million corporate headquarters in Houston, a $66 million office park in Mountain View, Calif., and a $44 million office building in Raleigh, N.C. Store construction in January im- proved 4%, reflecting the start of a $30 million shopping mall in Lakeland, Fla. and a $25 million department store in Las Vegas. The manufacturing plant category had a strong January, jumping 44%, continued on page 54 US Patent No: 8,266,771 B2 Our PATENTED KDT Power Twist Tie saves time, and time is money! 9 ga & 6 ga conform to ASTM F626-96A Sizes for 1-5/8 pipe up to 8-5/8 Available in Galv. Class B Coating or less & Aluminized "Affixing the fence fabric to a fence post is an important and repetitive step in most fence installations. For this reason, an inexpensive fence tie that facilitates high quality fastening with reduced time and effort can improve upon the time and cost associated with building fences." – As published in U.S. Patent, KDT Power Twist Tie Look for it at your local supplier or Call 800-749-7181 E-mail: sales@kdwire.brcoxmail.com AND MENTION WFN! Keener Dupont Wire Co., LLC Where wire is our only business Only four steps needed to install the KDTwist Saves 20% on installation time! – Move KDTwist to post at a 45° angle; it pops on. – The installer does not have to pry apart legs. Reduces fatigue for the installer. – Smaller opening to close. – Use any power twist tie tool on the market to secure the KDTwist. Special sizes or shapes on request • KDT now available for T-posts Available in 12 ga, 11 ga, 9 ga, 7 ga, 6 ga Power Twist Tie KDT PIGTAIL AND SQUARE KDT AVAILABLE! MEMBER MEMBER