Search
 

GlobeSt.com EXCLUSIVE: Building Costs Climb Despite Tense Times

DALLAS-Building costs, up .33% in Q3, will rise through year's end despite the tumultuous times, predicts Dallas-based Turner. It's a given that developers will table projects and others will stay alive. For Turner, the hard-hats are out in full force in NYC.

By Connie Gore | Updated on September 17, 2001

DALLAS-Terrorist attacks, a sagging economy and yesterday’s plummeting stock market will rein in construction costs, but most likely won’t keep them from rising, GlobeSt.com has been told.

Just one day before the Sept. 11 attacks, Dallas-based Turner Corp., a barometer for the building industry, was poised to release its third quarter cost index. Like the rest of the nation, everything came to a screeching halt.

In a special release to GlobeSt.com, Karl F. Almstead, Turner’s vice president in New York City, calculates the cost index jumped one point to 614 or .33% higher than this Q2 and 2.67% more than second quarter 2000. A definite slowdown in the acceleration rate for the building industry’s costs will finally hit home in the fourth quarter. Almstead predicts it will taper to about half of the third quarter spike. “My sense is it’s going to continue to go up, but at a much, much slower pace,” he says. “What it reflects, in certain areas of the country, is that work is slowing down, but there’s a lot of work elsewhere in the country.”

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?

NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2024 ALM Global, LLC. All Rights Reserved.