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| Construction activity in urban areas continues to drive cost increases Turner Construction Company announced that the First Quarter 2015 Turner Building Cost Index – which measures costs in the non-residential building construction market in the United States – has increased to a value of 927. This reflects a 1.09% increase from the Fourth Quarter 2014 and a 4.75% increase from the First Quarter 2014. Growth in non-residential construction remains steady for the first quarter in virtually all domestic markets and a steady but high level of construction activity in certain urban areas is continuing to drive domestic construction cost increases. Labor resources continue to be a focus in markets experiencing increased volumes of construction activity, while the availability of a skilled workforce adds to the upward pressure on construction costs. "While raw material prices have seen some subtle reductions in the past quarter, manufactured and engineered components continue to see increases. Additionally, material lead times have been extended due to increased demands and a reduced availability of production facilities to support those demands, " said Attilio Rivetti, the Turner vice president in charge of the Cost Index. He added, "The recent rise in the cost of fuel has not yet had an effect on construction costs, but a watchful eye on material transportation costs will be important in the coming months." write your comments about the article :: © 2015 Construction News :: home page |