South Carolina: Surging? Boeing’s selection of South Carolina for its new final assembly plant for the 787 Dreamliner has this state feeling positive.
McGraw-Hill Construction expects that to continue in 2010, as it predicts South Carolina to have the second-strongest percentage improvement in new contracts for states in the Southeast Construction region.
The company forecasts a 16% overall increase, for a total value of about $8.4 billion for 2010. Again, however, that increase will only partially offset last year’s larger decline of about 30%.
The nonresidential sector is expected to be flat with 2009 and deliver almost $3 billion in new projects. Considering that 2009’s projected total was 21% below 2008, that’s not great news.
Here, too, commercial and industrial contracts will fall in value. McGraw-Hill predicts a 15% downturn, for about $1.1 billion in new contracts. That will add to the pain felt by contractors working in this sector, which fell an estimated 23% in 2009.
Institutional building contracts will rebound nicely, however, improving by 13% to a historically standard level of more than $1.8 billion. (Actually, that would be the second-highest level in the past five years.)
Residential construction is projected to ramp up in South Carolina, too. After a 36% downturn in 2009 (for a $3-billion total), McGraw-Hill Construction forecasts a 25% increase for 2010, for about $3.7 billion in new contracts.
Nonbuilding—after a 33% overall dip in ’09—will show the greatest percentage increase in 2010, however. A 31% upturn should deliver nearly $1.8 billion in new infrastructure contracts. The public works subcategory will provide the vast majority of those projects. A 47% jump in this market will result in more than $1.7 billion in new contracts, for the second-highest total in five years.
After a colossal improvement in 2009—from just $12 million in 2008 to approximately $184 million last year—electric utility work will fall off by about 69% and total about $56 million, according to McGraw-Hill Construction.
Millions of Dollars | 2003 | 2004 | 2005 | 2006 | 2007 | 2008 | Forecast 2009 | Forecast 2010 | 2008-09 % Chg | 2009-10 % Chg |
---|---|---|---|---|---|---|---|---|---|---|
Total Construction | 9,799 | 11,072 | 12,835 | 12,581 | 14,694 | 10,386 | 7,284 | 8,445 | -30% | 16% |
Nonresidential Construction | 2,480 | 2,860 | 2,837 | 2,868 | 6,584 | 3,721 | 2,943 | 2,952 | -21% | 0% |
Commercial & Industrial | 1,178 | 1,149 | 1,235 | 1,324 | 5,190 | 1,704 | 1,309 | 1,107 | -23% | -15% |
Institutional Buildings | 1,303 | 1,711 | 1,603 | 1,544 | 1,393 | 2,017 | 1,634 | 1,845 | -19% | 13% |
Residential Construction | 5,661 | 6,565 | 8,789 | 8,570 | 6,830 | 4,654 | 2,989 | 3,723 | -36% | 25% |
Nonbuilding Construction | 1,658 | 1,647 | 1,209 | 1,143 | 1,281 | 2,011 | 1,353 | 1,770 | -33% | 31% |
Public Works | 1,649 | 885 | 1,191 | 1,122 | 1,225 | 1,999 | 1,168 | 1,714 | -42% | 47% |
Electric Utilities | 9 | 762 | 18 | 21 | 56 | 12 | 184 | 56 | 1396% | -69% |