Nonresidential construction given a slight boost

FMI released its third-quarter Nonresidential Construction Index (NRCI) report, as panelists gave nonresidential construction a 0.2-point improvement over the second quarter for a score of 60.3. The score is the NRCI index’s highest since the first quarter of 2009. According to a press release, costs related to construction materials and labor, as well as productivity, continue to keep the index from soaring.

In addition, panelists for this quarter’s NRCI suggest the uncertainty for investments is a result of the immigration and labor bills, delays in implementation of the new health care law and the impact of residential growth on nonresidential construction. These issues are causing the industry to sit back and wait to see the outcomes before making any risky investments, panelists say.