The residential remodeling, repair, and renovation industry, which has seen nothing but growth for the last two years, will most likely see more of the same for the rest of this year.
That, according to statistics compiled by the Joint Center for Housing Studies at Harvard University, is the expectation as the industry in 2018 nears the $340 billion mark, up significantly from the $267 billion it charted in 2015. Using what is known as the Leading Indicator of Remodeling Activity statistics, the Harvard Center study additionally predicts an overall increase in the remodeling market of 7.5 percent this year over 2017. The Center has previously suggested that two demographic trends are fueling today’s remodeling industry: Baby Boomers who are investing to make their homes feel comfortable and safe - a segment of the market that is expected to grow by nearly 33 percent by 2025. In addition, members of Generation X - those born generally between 1961 and 1985, even though suffering from equity losses during the Great Recession - are undertaking discretionary projects that have previously been deferred because of the economic downturn. Industry experts say extensions of kitchen spaces, new home office configurations, and a greater use of wireless technology are among the most in-demand remodeling projects. By Garry Boulard
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Yet another modern student housing project, designed to accommodate the growing enrollment at Northern Arizona University, is in the planning stage in Flagstaff. What is being called Mill Town will see the construction of 340 residential units along with just over 48,000 square feet of retail space. Plans also call for the construction of enough space for just over 1,000 vehicles, as well as three separate structures that will be used for commercial purposes. The project is being developed by the Phoenix-based real estate development and investment company Vintage Partners. As proposed, Mill Town will go up on an 18-acre site at the intersection of Milton Road and University Avenue. Flagstaff city officials have previously expressed concerns regarding the already large number of students who daily cross busy Milton Road to get to the NAU campus, a number that is bound to increase once the project, only two blocks to the west of that campus, is completed. In response, the building of Mill Town will also see the construction of a Milton Road underpass for pedestrian use. The project has already had its first hearing before Flagstaff’s Planning and Zoning Commission and is expected to go before the Flagstaff City Council early next month. By Garry Boulard Offering tenants a stunning view of the nearby Organ Mountains and access to a host of new and large retail offerings, a Las Cruces project promises to be the latest in the apartment home market.
The Sonoma Pointe Apartments, to be developed by the Las Cruces-based Salas Homes, is planned for construction later this year and will go up on a currently vacant stretch of desert land at 4200 Northrise Drive. That site is roughly 6 miles to the northeast of downtown Las Cruces in an area of growing retail space and luxury homes priced above the $300,000 mark. First phase construction should launch later this year and will include the building of 48 units, with an additional 52 units expected in the development’s second phase. The project will include outdoor grilling space, a dog run and washing station, and community center featuring a fitness center, business center, and large communal lounge with fireplace. Salas Homes is also the developer and builder of the Vista Village shopping complex at 3850 Foothills Road on the east side of Las Cruces. By Garry Boulard In an effort to make the country aware of crumbling infrastructure issues in urban areas, the National League of Cities is planning to build on a position paper issued last month called Rebuild With Us.
That document called for a greater partnership between America’s cities and the federal government to “address the existing core infrastructure backlog.” The document additionally declared that “cities are already paying their fair share and need a steady partner to fund existing national programs and make significant capital investments for the long-term benefit of the economy.” In so doing, the group, which represents 19,000 cities, towns, and villages, has also called for the increased funding of water infrastructure programs as well as the establishment of a national broadband grant program for cities with populations of up to 20,000 people. In a statement, Mark Stodola, NLC president, has criticized President Trump’s fiscal year 2019 budget, saying that it includes “$3 trillion in domestic cuts over ten years, many of which Congress has already rejected twice.” The NLC has been particularly critical of reductions in spending for Community Development Block Grants, Transportation Investment Generating Economic Recovery grants, and brownsfields redevelopment funding. “Our country faces a historic bipartisan opportunity to maintain, expand, and modernize our economy’s backbone,” said Stodola. “But the administration risks squandering that opportunity by proposing a $1.5 trillion infrastructure package with one hand while slashing successful local investment programs with the other.” By Garry Boulard Preliminary plans have been submitted for what could turn out to be not only the tallest building in Denver, but also in most of the West. The real estate development and investment firm Greenwich Realty Capital has proposed the construction of an 81-story skyscraper that would go up in downtown Denver on the .72-acre site of what is now a parking lot. A concept for the project that has already been sent to the City of Denver’s Community Planning and Development department describes it as a “mixed-use development including retail, hotel, and residential.” Expected to cost $371 million to build, the 1,000 foot-tall structure would also include a restaurant and bar, and a garage with parking space for 778 vehicles. In total, the building will measure 1.1 million square feet. Officially called 650 17th Street, the skyscraper upon completion would be significantly taller than the last two Denver record-breakers: the Republic Plaza, with 56 floors, built in 1984; and 1801 California, with 53 floors, which went up in 1983. Its only skyscraper competition in surrounding states would be the Stratosphere Tower of Las Vegas, which was built two decades ago and has 112 floors. Although the project still needs to go through several layers of city approval before it can be built, the New York-based Greenwich Realty Capital is targeting June 2019 as the month it would like to begin construction on the skyscraper, with a mid-2020 completion date. Even though everything about the project is big, it is still somewhat scaled down from Greenwich Realty Capital’s original plans announced last fall, which called for a 90-story structure with a $400 million price tag. By Garry Boulard Legislation designed to promote the construction of high-speed broadband in rural parts of Colorado has won the overwhelming approval of the Colorado State Senate on a 30 to 5 vote.
Sponsored by Senators Don Coram and Jerry Sonnenberg, the bill will transfer some 60 percent of an existing statewide telephone subsidy fund to be used by any companies undertaking to build broadband infrastructure. That subsidy received around $38 million in revenue from residential phone bills last year. As proposed, the bill would draw from the subsidy fund for a period of 5 years, providing more than $100 million in available support. Advocates of the legislation have said that access to high-speed broadband in rural Colorado is an economic development issue. Coram has remarked that by having that access, residents in those rural areas will be “participants rather than spectators in a booming economy.” Senate Bill 2 specifically stipulates that the funding can only be applied to broadband projects in cities with a population of 7,500 people or less. Supporters of the legislation acknowledge that it is only a start. Experts have estimated that it will eventually cost upwards of $500 million to completely build out the needed broadband infrastructure in rural Colorado. By Garry Boulard A move to offer increased retirement options and benefits to construction workers has been introduced in Congress.
Representatives Phil Roe of Tennessee and Donald Norcross of New Jersey say the Giving Retirement Options to Workers Act of 2018 will safeguard the current multi-employer pension plan system. The legislation will do so through the authorization of a new kind of retirement option that will combine features of existing benefit programs. As proposed, the bill would allow for the creation of a multi-prong approach combining existing retirement plans with 401 K-type defined contribution plans that both employers and employees would contribute to. Construction workers may have various contracts with various employers through the years. But while companies combine their resources for those retirement plans, the advent of fewer companies puts a strain on employers. Roe says the GROW Act will allow employers to negotiate a fixed contribution rate in a move to replace a multi-employer pension system that he characterizes as “irreparably broken.” The measure has won the support of the Associated General Contractors of America. “Offering employers more attractive multi-employer retirement options like the kind permitted in this proposal will bring stable, sustainable, and comfortable retirement benefits to many more employees than the current system supports,” Stephen Sandherr, AGC’s chief executive officer, said in a statement. By Garry Boulard A proposed new Arizona State University campus in Mesa could see the building of a 5-story, 125,000 square-foot structure in the city’s downtown designed to house classrooms and offices. Officials with the City of Mesa have announced that they are studying the possibility of entering into an intergovernmental agreement with the largest public university in the state that could lead to the creation of a permanent ASU campus in Mesa. Although still in the talking stage, that campus could eventually include two additional buildings, one measuring anywhere from 60,000 to 75,000 square feet. ASU has earlier said it would like to grow a media, film, and gaming education program in Mesa. That program would also include advanced data visualization courses, 3-D animation, and other offerings. Members of the Mesa City Council will vote on the intergovernmental agreement on February 26. As currently proposed, the new campus would be developed and built in stages. ASU, with an enrollment of nearly 52,000, already operates on five campuses throughout metro Phoenix, with a sixth in Lake Havasu City. By Garry Boulard Seeing an increase of over 120,000 passengers in 2017, the El Paso International Airport, after several years of flat numbers, is enjoying a new era of growth, partly sparked by the addition of nine new regularly scheduled flights.
In a move to both accommodate that growth as well as keep the facility on some 7,000 acres, up to date, airport officials have been touting the importance of a 5-year capital improvement plan. That $103 million plan, which has been given a green light by the El Paso City Council, includes the construction of a new rental car agency administration building, an updated baggage claim area, the realignment of Taxiway V, and the expansion of a fixed-base operator ramp. Additional projects under the plan include improved landscaping and the installation of park monuments. Located at 6701 Convair Road, the El Paso International Airport is the largest commercial airport in west Texas. It served just under 3 million passengers in 2017, a number that is expected to increase this year with the airport’s plans to inaugurate a new American Airlines flight direct to Chicago. Funding for the $103 million project is partly being made up of $31 million in Federal Aviation Administration grants; $34 million in passenger facility fees; $13 million from the airport’s own enterprise funds; and $7 million through the federal Transportation Administration. By Garry Boulard Expect more bicycle and walking paths in the landscape designs of office complexes this year, predicts an industry group compiling its beginning-of-the-year trends list.
The Fairfax, Virginia-based National Association of Landscape Professionals is reporting that office complex landscape design in 2018 will include dining areas as well as gardens intended to “enhance the employees’ experience.” In the group’s “Top Landscape Trends of 2018,” commercial and even residential landscapes are expected to incorporate a growing trend toward emphasizing a particular look at the point of entrance of any given project, with “plantings, design elements, and beautiful lawns that make welcoming or wowing first impression.” At the same time the NALP, which has a membership of nearly 1 million landscape and irrigation experts, is predicting a greater emphasis on sustainability. “The integration of eco-friendly watering practices are expected to take off in 2018,” says the trends report, “including the use of plants native to a region (which generally use less water), xeriscaping (planning a landscape to use low-water use plants), and smarter irrigation technology.” NALP develops its trends reports based on interviews with its members in various regions of the country. By Garry Boulard |
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