State fiscal crisis compounds workforce and construction issues in California
New York – January 21, 2009 – McGraw-Hill Construction, part of The McGraw-Hill Companies (NYSE: MHP), has released the 2009 California Construction Outlook. “For the fourth consecutive year, total contracting in California will fall,” the report says, “but that drop will be a mild 4%, far better than the 7% to 20% declines that occurred during 2006-08.”
Highlights of the report conclude:
- Single family starts are expected to fall 6%, and multifamily starts will decline 3% in 2009, but both residential building sectors are stabilizing after three years of steep declines.
- Commercial construction is set to drop 14% in 2009, reflecting higher vacancies and weaker rents.
- Contracting for institutional building projects is expected to slip 6% in 2009, due to pressures on state and local tax revenues.
- Public works projects will benefit from the federal stimulus package and the Proposition 1 bond referenda approved by voters in 2006, slipping only 4% in 2009 despite the state’s on-going fiscal crisis.
In addition to the 2009 forecast, the report provides in-depth construction analysis by major sector, as well construction starts for the area dating back to 2002 in more than 10 major categories, including stores and shopping centers, offices, hotels, manufacturing buildings, educational buildings, healthcare, public works, utilities, and multifamily and single family housing.
To purchase and immediately download a copy of the report, visit http://www.analyticsstore.construction.com or call 1-800-591-4462 for more information.
Media may contact Lisa Jaycox at 212-512-3272 or lisa_jaycox@mcgraw-hill.com for complimentary copies of McGraw-Hill Construction reports.
About McGraw-Hill Construction
McGraw-Hill Construction connects people, projects and products across the design and construction industry. For more than a century, the Company has remained North America’s leading provider of construction project information, plans and specifications, product information, industry news, and industry trends and forecasts. In print and online, the Company offers a variety of tools, applications, and resources that easily integrate with its customers’ workflows. Backed by the power of Dodge, Sweets, Architectural Record, Engineering News-Record (ENR), GreenSource and 11 regional publications, McGraw-Hill Construction serves more than one million customers within the $4.6 trillion global construction community. To learn more, visit www.construction.com.
About The McGraw-Hill Companies
Founded in 1888, The McGraw-Hill Companies (NYSE: MHP) is a leading global information services provider meeting worldwide needs in the financial services, education and business information markets through leading brands including Standard & Poor's, McGraw-Hill Education, BusinessWeek and J.D. Power and Associates. The Corporation has more than 280 offices in 40 countries. Sales in 2007 were $6.8 billion. Additional information is available at www.mcgraw-hill.com.
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