January 6, 2010
The American Institute of Architects (AIA) is forecasting that office, retail and hotel development may fall 13% this year. In July, they were forecasting 12%.
ndustrial construction spending is likely to slump the most this year, 24 percent, and an additional 7.8 percent in 2011, the institute said.
The group expects hotel building to also fall about 24 percent this year, before rising 5.4 percent in 2011.
Spending on office buildings may drop 19 percent this year and then increase 12 percent in 2011, while retail construction is likely to decline 17 percent this year before climbing 3.2 percent next year, the group said.
- August 2009 RREEF Property Cycle Monitor
- Commercial Lending Down 54%
- HNN Compiling List of Funds Targeting Hotels
- Year End Forecast: 27.5% Vacancy, Rents Down by 23.5%
- Construction Costs Steadying – Uptick Expected