- Construction Forecast for 2017 - What Project Types are Predicted to Be Hot?
- August 6, 2016 | Author: George M. Nicholos
- Law Firm: Vandeventer Black LLP - Norfolk Office
According to the American Institute of Architect's (AIA) semi-annual Construction Consensus Forecast, construction spending in the non-residential market is predicted to increase by 8.3 percent in 2016 and by 6.7 percent in 2017. Demand is expected to be especially high for project types that include hotels, office space, industrial facilities, and amusement and recreation spaces. The forecast noted that while interest rates could pose a challenge to the U.S. economy, lower energy prices, improved employment figures and an enacted federal budget for 2016 are all consistent with a favorable outlook for the construction industry.
The AIA Construction Consensus Forecast is a highly respected barometer of the construction industry as it is conducted semi-annually with the leading nonresidential construction forecasters in the United States, including Dodge & Data analytics, Wells Fargo Securities, HIS-Global Insight, Moody's Economy.com, CMD Group, Associated Builders and Contractors, and FMI to provide a consensus view of trends in the construction industry.
The AIA's forecast also included a list of the most prevalent design trends expected over the next ten years. The trends were obtained from contributing panelists to the AIA's Architecture Billings Index (ABI) which is an index derived form the monthly survey of work-on-the-boards in architectural firms throughout the U.S. the index is conducted by the AIA Economics & Market Research Group. Interestingly the most prevalent trends are predicted to be associated with energy efficiency and related technology to integrate water conservation, solar and wind power generation, natural day lighting techniques and technology, automated controls and motion sensor activated lighting, as well as the use of innovative new building materials such as composites and new glass/glazing technologies.