FMI released its Q3-2014 Construction Outlook, which anticipates slow growth in the economy.
This forecast is attributed to the relatively low energy prices, low inflation, unemployment holding around 6.2 percent and GDP slowly growing. In addition to this, consumers are obtaining building permits, housing bounced back in July and banks are lending again.
The report says sectors such as power, conservation, development and transportation will continue to see growth ahead of GDP, but water supply, sewage, waste disposal, and highway and street construction will be weaker due to low government spending.
The outlook also predicts residential construction growth, with multifamily construction expected to grow at a pace of 13 percent in 2015. It also says that the office forecast is expected to reach 8 percent growth in 2014 and an additional 7 percent in 2015. Manufacturing is expected to end up 6 percent in 2014 and grow an additional 8 percent in 2015. Finally, transportation construction has grown 7 percent in 2014.
