Turner Construction Company announced that the Second Quarter 2013 Turner Building Cost Index – which measures costs in the non-residential building construction market in the United States – has increased to a value of 859. This reflects a 1.18% increase from the First Quarter 2013 and 4.00% yearly increase from the Second Quarter 2012.
"Larger urban markets appear to be expanding more rapidly than other regions. Contributing to the increase in construction costs is the limited capacity among those trade contractors with the available resources to manage and work on large, complex projects," said Karl F. Almstead, the Turner vice president in charge of the Cost Index. He continued, "While lower global demand is maintaining downward pressure on material and equipment costs, there is upward pressure on specialty equipment and material costs in growing building types such as data centers."
Approximately 90% of Turner's business is performed under contract arrangements where Turner provides extensive preconstruction planning services before the contract price is fixed and before construction starts. By providing preconstruction services and utilizing enhanced procurement strategies, Turner effectively manages the market risks associated with cost-related issues.
Turner has prepared the construction cost forecast for more than 80 years. Used widely by the construction industry and Federal and State governments, the building costs and price trends tracked by the Turner Building Cost Index may or may not reflect regional conditions in any given quarter. The Cost Index is determined by several factors considered on a nationwide basis, including labor rates and productivity, material prices and the competitive condition of the marketplace. This index does not necessarily conform to other published indices because others do not generally take all of these factors into account.
About Turner Construction Company
Turner is a North America-based, international construction services company. Founded in 1902, Turner first made its mark on the industry pioneering the use of steel-reinforced concrete for general building, which enabled the company to deliver safer, stronger, and more efficient buildings to clients. The company continues to embrace emerging technologies and offers an increasingly diverse set of services. With an annual construction volume of $9 billion Turner is the largest builder in the United States, ranking first or second in the major market segments of the building construction field, including healthcare, education, sports, commercial, and green building. The firm is a subsidiary of HOCHTIEF, a publicly traded company, and one of the world's leading international construction service providers. For more information please visit www.turnerconstruction.com.
About HOCHTIEF
HOCHTIEF is one of the leading international providers of construction-related services. With more than 80,000 employees and a sales volume of EUR 23.28 billion in FY 2011, the company is represented in all the world's major markets. With its core competencies in development, building and operation, the Group delivers services for the entire life cycle of infrastructure projects, real estate and facilities. The focus of the related business activities is on four strategic areas: energy infrastructure, transportation infrastructure, major cities, and resources. With its subsidiary Leighton (HOCHTIEF share around 54 percent), the Group is market leader in Australia. In the USA, the biggest construction market in the world, HOCHTIEF is the No. 1 general builder via its subsidiary Turner and, with Group company Flatiron, ranks among the most important players in the field of transportation infrastructure construction. Because of its engagement for sustainability, HOCHTIEF has been listed in the Dow Jones Sustainability Indexes since 2006. Further information is available at www.hochtief.com/press.
Related Stories
| Aug 11, 2010
Great Solutions: Healthcare
11. Operating Room-Integrated MRI will Help Neurosurgeons Get it Right the First Time A major limitation of traditional brain cancer surgery is the lack of scanning capability in the operating room. Neurosurgeons do their best to visually identify and remove the cancerous tissue, but only an MRI scan will confirm if the operation was a complete success or not.
| Aug 11, 2010
Great Solutions: Collaboration
9. HOK Takes Videoconferencing to A New Level with its Advanced Collaboration Rooms To help foster collaboration among its 2,212 employees while cutting travel time, expenses, and carbon emissions traveling between its 24 office locations, HOK is fitting out its major offices with prototype videoconferencing rooms that are like no other in the U.
| Aug 11, 2010
2009 Judging Panel
A Matthew H. Johnson, PE Associate Principal Simpson Gumpertz & HegerWaltham, Mass. B K. Nam Shiu, SE, PEVP Walker Restoration Consultants Elgin, Ill. C David P. Callan, PE, CEM, LEED APSVPEnvironmental Systems DesignChicago D Ken Osmun, PA, DBIA, LEED AP Group President, ConstructionWight & Company Darien, Ill.
| Aug 11, 2010
Inspiring Offices: Office Design That Drives Creativity
Office design has always been linked to productivity—how many workers can be reasonably squeezed into a given space—but why isn’t it more frequently linked to creativity? “In general, I don’t think enough people link the design of space to business outcome,” says Janice Linster, partner with the Minneapolis design firm Studio Hive.
| Aug 11, 2010
BIM school, green school: California's newest high-performance school
Nestled deep in the Napa Valley, the city of American Canyon is one of a number of new communities in Northern California that have experienced tremendous growth in the last five years. Located 42 miles northeast of San Francisco, American Canyon had a population of just over 9,000 in 2000; by 2008, that figure stood at 15,276, with 28% of the population under age 18.
