Market Update: Navigating the Aftermath

The COVID shutdown and aftermath has settled down in the construction industry. We have seen a partial recovery of material costs and availabilities. Lead times have improved and to some degree, prices of materials have softened. Manufacturers that spooled up manpower and plant capacity as the post COVID demand remained high, are now handling the workload in a more “normal” fashion. However, some products such as RTU’s and Electrical switchgear continue to suffer extreme pricing and extended delivery. It may take some additional time for these stand-outs to settle down. Our team is well dialed in to the trouble spots and are finding creative ways to circumvent these supply issues.

Of major concern is continuing excessive permit issues and delays. Municipalities are bogged down in the permit process. Some building departments are updating antiquated software systems causing a learning curve lag. Others are simply understaffed. It would seem in this day and age the local governments would have an interest in streamlining this process but that clearly is not the case. If you are thinking of building, leave lots of time for permits. It’s sad but true. 

Consider engaging a qualified General Contractor for pre-construction services to minimize the impact of these troublesome (and others) issues. If you are considering a project, please contact us to discuss your options. We would love to speak with you!