With the price of steel increasing significantly since the beginning of the year, the construction industry has little choice but to build through a more expensive process.
"Costs for construction materials used in San Diego’s newest buildings are rising fast, and some in the industry say it might slow the building boom that has altered downtown’s skyline since the end of the recession," reports Philip Molnar.
"Slowed rent growth and increased labor costs are also seen as problems for the building industry," adds Molnar.
The price of steel, specifically, is called out for increasing costs for building, mirroring expectations in the industry since the Trump Administration started several trade wars earlier this year. "The benchmark price for steel this week was up 31 percent from the beginning of the year, said commodities tracker S&P Global Platts. Prices for aluminum also shot up when tariffs were announced but have stabilized to about where they were at the start of the year," according to Molnar.
The article continues on to tie those market realities to the specifics of of building activity in Downtown San Diego. Some effects are not yet visible, and developers are still hesitant to say that the construction industry will slow down.
Read the full story: Could downtown's building boom be coming to an end?
Construction Costs Holding Steady During Pandemic
It might have been wishful thinking to assume the pandemic would cause big declines in costs for materials and labor in the construction industry.
Shipping Delays Causing Construction Slowdown
Materials procured overseas are taking longer to arrive in the United States, and the delays are causing a ripple effect in the construction industry.
Housing Starts, Permits Declining
Housing starts haven't ben this low in nine months, according to new data released by the U.S. Department of Commerce.
Planetizen Federal Action Tracker
A weekly monitor of how Trump’s orders and actions are impacting planners and planning in America.
California plans to bury El Niño’s downpour
If the state plays its cards right, it may be able to store a billion acre-feet of El Niño’s water in aquifers.
Desperate measures: Advocates weigh draining Lake Powell to fill Colorado River
Draining the reservoir could reduce evaporation losses by a couple hundred thousand acre-feet.
Chicago voters approve permanent festival grounds, penalty for vacant property owners
Currently, major summer and fall festivals take over public parks for weeks at a time, drawing criticism from nearby residents
NYC votes to cut outdoor dining red tape, speed up permitting
New York City also voted to allow the Department of Transportation to begin work on urgent projects before notifying elected officials.
California appears to reject Prop. 45
The proposition would have expanded the projects that qualify for a streamlined environmental review, effectively paring down the California Environmental Quality Act.
FREE Course: Walkable City 1: Why Walkability?
After describing his path towards focusing on walkability as the essence of good planning, Jeff Speck marches through his five principal reasons for making more walkable places.
Reinventing Malls: Planning Alchemy—Turning Gray Fields Into Gold
The course focuses on the opportunities and imperatives that shape reinvention of mall sites.
City of Rosemead
Rutgers University, Edward J. Bloustein School of Planning and Public Policy
One Hundred Miles
Hunter College, City University of New York (CUNY)
The Architects Foundation
University of Cincinnati Online
City of Cambridge
Montrose County
The Pocatello Development Authority