Demand for building materials remains robust while the world continues to push through the pandemic. However, the lasting effects of the pandemic and the associated mitigation efforts, have impacted the production of materials and equipment through factory slowdowns, factory shutdowns, and quarantines. As a result, equipment and material lead times and cost increases have impacted the […]
Author Archive: Blair
Developers | Are Code Updates driving up project costs?
Apartment developers are subject to a variety of regulations at all levels of government. According to research by the National Association of Home Builders (NAHB) and the National Multifamily Housing Council (NMHC), the regulation imposed by all levels of government accounts for an average of 40.6% of multifamily development costs. The highest average cost is […]
Construction Update | A Robot that can hang drywall!
Using robots on the jobsite is technologically savvy, but more importantly, speaks to a commitment to safety and productivity. Robots can perform those repetitive and dangerous tasks increasingly unappealing to skilled laborers. Indeed, automation via robotic technology might be a solution to the labor crisis and a draw for young people to rejoin the construction […]
Multifamily Amenities to Consider—The Pool
You keep hearing about how important good amenities are for a successful multifamily development. As a result, developers are putting more thought into outdoor areas, whether a roof, a terrace, or a courtyard. Adding an indoor or outdoor pool is an expensive investment, but is it still one you should consider? Swimming is the fourth most […]
Developers | Are Transportation Costs Affecting Material Cost?
What are transportation costs? Transportation costs are all the expenses related to the transportation of raw materials, finished products, and employees. Have these affected building materials costs? Read on! The price of truck transportation of freight increased 2.9% in May and has climbed 25.8%, year-over-year. Long-distance and local motor carrying prices are up 28.2% and 18.4%, respectively, […]
2022 Insights | Construction Material Price Updates
Building materials costs have soared in the past few months, and so have equipment prices! Due to shortages prompted by pandemic-related supply chain issues, increased global demand, labor disruptions, and extreme weather, we continue to see an increase in construction costs. Here’s an updated look at building materials prices. According to the latest Producer Price Index […]
Apartment Demand—Nearly 98% Occupancy
Demand remains strong in most regional markets across the U.S. As a result, the need for housing keeps rising. First-quarter data from RealPage shows historically unprecedented demand, occupancy, and rents in the multifamily market. What is the forecast for the Housing Market? Read on! Renters leased 700,000 additional apartments last year, more than doubling the five-year […]
Developers: Hotels are Making a Comeback!
The hospitality industry has undergone a seismic transformation since 2020. This period of change is set to continue through 2022 and 2023, with shifts in demographics and technology. Developers: Read on for good news updates in the hotel sector! According to CBRE’s latest 2022 Hotel Horizons forecasts, US major market revenue per available room will increase […]
Developers | Cheaper construction costs ahead!?
Rapidly rising interest rates and increasing construction costs have decreased builder confidence. With construction costs at an all-time high, you may be thinking it’s not the right time to move forward with new development deals, but that may be a mistake! Great opportunities may lay ahead for developers who are ready. Read on to find out why. […]
Apartment Developers: Higher Efficiency = Higher ROI
For several years, apartments have been shrinking in size, partly because smaller units are more profitable for property owners. However, as the number of US renters increases, so does the demand for larger units. How can you meet the market need while remaining profitable? Read on! The building efficiency ratio represents the share of net rentable […]