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Non-Residential Construction Activity Projected to Decline

Feb 25, 2009 12:37 PM

The non-residential construction industry will experience a steep decline in the coming years, according to the American Institute of Architects (AIA) Consensus Non-Residential Construction Forecast Panel, which is conducted twice a year with the participation of the leading non-residential construction forecasters in the United States. Overall, non-residential construction activity will see an 11% decline in 2009, followed by an additional 5% drop in 2010.

Over 2009 and 2010, declines for offices, retail facilities, and hotels are predicted to total between 25% and 35%. Industrial activity, such as manufacturing and related distribution facilities, is expected to drop 20% over 2009 and 2010. The two-year decline for institutional facilities is projected to run about 7%. Health-care facilities will experience a milder 5% two-year decline.

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