Modest increase forecast for construction costs
The third-quarter 2012 Turner Building Cost Index — which measures costs in the non-residential building construction market in the United States — has increased to a value of 832. This reflects a 0.73-percent increase from the second-quarter 2012 and 2.21-percent yearly increase from the third quarter 2011, according to Turner Construction Co.
“A modest increase in construction costs over the last few months is driven by labor and material cost increases,” Karl F. Almstead, the Turner vice president responsible for the Turner Building Cost Index, said in a written statement. “Market optimism also contributes to the moderate increase in costs. However, any significant change in the market will require a change in the overall economy.”