Source: Rider Levett Bucknall
International property and construction consultancy firm Rider Levett Bucknall has released its latest RLB Crane Index and Quarterly Cost Report. Together, the two documents provide an insightful look at the North American construction industry in 14 key markets.
“The pandemic-induced recession is going to have far-reaching effects,” said Julian Anderson, FRICS, president of RLB North America. “Lenders are less likely to support large new developments in sectors that have been hard-hit, like sports and hospitality. As construction costs soften, we are already seeing more interest in the projects that are coming online.”
Crane Index Notes
- Cities seeing an increase in cranes include Phoenix, Seattle, Toronto, and Washington D.C.
- Cities with a decrease in cranes include Chicago, Denver, Las Vegas, New York, and San Francisco
- Toronto continues to be home to the majority of total cranes counted (30 percent), followed by Seattle (10 percent)
- Residential projects account for 40 percent of all cranes counted, followed by 25 percent installed at mixed-use developments
- Cranes dedicated to cultural projects drop 38 percent from the previous count
- Healthcare projects experienced a nationwide increase in active cranes of 38 percent
Quarterly Cost Report notes
- The U.S. national average increase in construction cost in the last quarter is approximately 0.16 percent, compared to 1.3 percent year-over-year
- The U.S. Gross Domestic Product reports its largest quarterly drop on record, with the annualized rate showing a 32.9 percent decrease
- The Architectural Billings Index rebounded to 40.0 from the previous quarter’s 33.3
Read the complete QCR report here.