SAN JOSE, CA (March 8, 2011) - CRS Roof Consultants, the leading Independent Roof Consulting Firm and authority on Commercial Roof System Investments reports industry losses on the consumption side of the equation. Buyers will be loosing between $2.6B and $5.6B annually, in roof system value by the year 2014.
According to a Freedonia Group, the US Roofing Industry is expected to expand by 2.4% through 2014 reaching nearly $18B in value. Additional reports suggest material cost will rise by 4.5% over the same time period.
Industry Life-Cycle Reports indicate roof systems worldwide fail on average in about 17 years. CRS Roof Consultants who tracts regional life-cycles says dryer states like California experience much shorter life-cycle averages, closer to 14 years for commercial roof systems.
Combined, the numbers represent a 15% to 32% in loss value on the purchase of 20/25 year assets respectively. "Total losses depend on buyer perceptions as to the expected Life-Cycle", said Kevin Cardoza, a Senior Analyst at CRS Roof Consultants. Most consumers (residential and commercial) expect to get closer to 25 years out of a 20 year roof system. Industry reports on premature failures as low as 12 years with an average of 17 years indicate a huge loss in value for buyers.
The installation of Roof Systems entail various components that are assembled to manufacture a complete roof system on-site at building locations. The only available controls close to an equivalent ISO9000 are certifications required by some material manufacturers, which only apply to contractors who offer the manufacturers' extended warranties.
Inefficiencies and generally accepted roof practices at the point of installation account largely for early water intrusion issues, said Dale Rowe (RRO), an Independent Registered Roof Observer and Inspector. Buyers leave the details up to contractors who write bid proposals where architects and general contractors reference warranty specifications but leave out critical roofing project details.
Statistically, roof systems installed in accordance with a set of defined performance rules under a complete roofing project specification outpace expectations and last from twenty to thirty years. Real Estate Investors, Management and Tenants whom adhere to roof system performance objectives tend to reduce long-term asset maintenance expense.
The ratio of Commercial Buildings and Annual Roofing Projects to the number of Independent Roof Consulting Firms suggest only a fraction of all Roof System Investments are based on Bid Specifications that define and hold contractors accountable for installation/labor warranty performance.
A well written Roofing Project Bid Specification can run $10K-$12K and save $60K-$80K on a Commercial Building but many private investors and smaller real estate investment firms view it as unnecessary expense. So, it's not unusual to see a barrage of abandoned rooftop assets from a history of rotating tenants and out of control roofing expense.
Only a few tenants (ie: Home Depot, Safeway, Best Buy, etc.) who's entire building is dedicated to product storage for immediate delivery implement Rooftop Asset Management Programs. Short term office and R&D building occupants seldom return rooftop assets (including that space below roof substrates) to their original condition as required by triple net leases.
Tight credit markets and reduced flipping have real estate investors moving more towards a value based approach to roofing. "We've seen increased demand for both Written Roofing Project Specifications and Project Management in the commercial markets but Home Owner Associations remain resistant to higher cost on those projects" said Construction Performance Builders, Inc. President, Terrence Osuga.
About CRS Roof Consultants
CRS Roof Consultants, the nations leading Independent Roof Consulting Firm. Established in 1986, its headquarters remain in the heart of Silicon Valley (San Jose, California) where it services national clients. As an authority on Commercial Roof System Investments, CRS Roof Consultants publishes information and technical papers that outline and educate readers on best roofing practices for property owners, investors, asset managers and property managers in the commercial real estate industry.
For more information about CRS Roof Consultants, the Roof Inspection White Paper or to obtain a free copy, visit: http://www.CRSRoofConsultants.comhttp://www.CRSRoofConsultants.com
Related Stories
| May 3, 2013
Another edible city? Artist creates model city with chewing gum
French artist Jeremy Laffon pieced together a model city with thousands of sticks of mint-green chewing gum.
| May 2, 2013
First look: UC-Davis art museum by SO-IL and Bohlin Cywinski Jackson
The University of California, Davis has selected emerging New York-based practice SO-IL to design a new campus’ art museum, which is envisioned to be a “regional center of experimentation, participation and learning.”
| May 2, 2013
A snapshot of the world's amazing construction feats (in one flashy infographic)
From the Great Pyramids of Giza to the U.S. Interstate Highway System, this infographic outlines interesting facts about some of the world's most notable construction projects.
| May 2, 2013
Holl-designed Campbell Sports Center completed at Columbia
Steven Holl Architects celebrates the completion of the Campbell Sports Center, Columbia University’s new training and teaching facility.
| May 2, 2013
BIM group proposes uniform standards for how complete plans need to be
A nationwide group of Building Information Modeling users, known as the BIMForum, is seeking industry input on a proposed set of standards establishing how complete Building Information Models (BIMs) need to be for different stages of the design and construction process.
| May 2, 2013
New web community aims to revitalize abandoned buildings
Italian innovators Andrea Sesta and Daniela Galvani hope to create a worldwide database of abandoned facilities, ripe for redevelopment, with their [im]possible living internet community.
| May 1, 2013
Data center construction remains healthy, but oversupply a concern
Facebook, Amazon, Microsoft, and Google are among the major tech companies investing heavily to build state-of-the-art data centers.
| May 1, 2013
Groups urge Congress: Keep energy conservation requirements for government buildings
More than 350 companies urge rejection of special interest efforts to gut key parts of Energy Independence and Security Act
