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By Ilan Kolet and Greg Quinn - 2012-05-31T10:30:00Z
Canadian construction employment is surging to a record amid public works projects, energy investment and homebuilding, even as U.S. building jobs fall to the least in more than 65 years.
The CHART OF THE DAY shows construction employment made up 7.42 percent of Canadas workforce in April, the highest in records dating back to 1975, while the comparable U.S. figure fell to 4.18 percent, the lowest since 1946.
Canada has continued to spend on long-term infrastructure after curbing its stimulus package, Canadian Construction Association President Michael Atkinson says. In contrast, the U.S. Congressional Budget Office says there may be a recession next year if lawmakers dont avoid a looming fiscal cliff of tax increases and spending cuts.
We are pretty optimistic, Atkinson said in a telephone interview from Edmonton, Alberta, where companies such as Imperial Oil Ltd. (IMO) are building projects in the oil sands.
In many parts of the country we saw no recession at all and the main reason was the stimulus plan, he said. What we are now seeing is the resource sector is back. There are about 30 construction projects worth at least C$1 billion ($973 million) versus about half a dozen a few years ago, led by government and natural resource companies, Atkinson said.
Housing markets are another difference between the neighboring countries -- Canadas housing starts reached the highest since 2007 last month, supported by low mortgage rates and demand for condominiums in big cities, while U.S. starts for April were about half of the pace recorded five years ago.
To contact the reporters on this story: Ilan Kolet in Ottawa at ikolet@bloomberg.net; Greg Quinn in Ottawa at gquinn1@bloomberg.net
To contact the editors responsible for this story: Alex Tanzi at atanzi@bloomberg.net; Christopher Wellisz at cwellisz@bloomberg.net
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Canadian Building Jobs Boom While U.S. Busts: Chart of the Day
Wausau, Wis. - U.S. General Services Administration's (GSA's) Federal Office Building 8 (FOB 8) will soon complete its major modernization. The project includes Wausau Window and Wall Systems blast-mitigating curtainwall to enhance the faade with contemporary aesthetics and high-performance functionality, providing occupants with expansive views and plentiful access to natural light.
Upon completion, anticipated before the end of 2012, the project will seek LEED Gold certification from the U.S. Green Building Council. Maximizing daylighting strategies, the exterior renovations entail replacing a large portion of the existing limestone faade with vast expanses of glazing. Additions and expansions include a glass entrance pavilion at the building's north side, projected window bays on the south faade, and two new atria.
Wausau custom-engineered and fabricated Blast Hazard Mitigation (BHM) Series four-sided, unitized curtainwall. "To alleviate some of the headaches often associated with customized, complex systems, our unitized systems streamline the installation process by pre-fabricating the various components into large, pre-assembled units that can be crane-lifted from the truck and quickly installed on the building," explains Kevin Robbins, Wausau's regional sales manager for the D.C. area.
In addition to the unitized wall, Wausau provided point-supported glass wing walls and atrium curtainwall systems. In total, Tidewater Glazing, Inc. installed approximately 60,000 square feet of Wausau's high-performance systems on the project.
FOB 8 occupies the entire block at 3rd and C Streets SW, in Washington, D.C. It originally housed Food and Drug Administration's (FDA) headquarters and laboratories. Designed by Boggs & Partners, the renovations will transform the property into a half-million square foot Class A office space nestled in a park-like setting. Once FOB 8's transformation is complete, the Architect of the Capitol and U.S. Department of Health and Human Services will lease the space.
"Keeping and renovating the site represents the most cost-effective and sustainable alternative for the American taxpayer. It is also an interesting challenge to remake a '60s-era building into an attractive neighbor in this prominent location," said Regional Commissioner for Public Buildings Service Bart Bush at the groundbreaking ceremony on June 15, 2010.
FDA vacated the building in 2002 and interior renovation began. GSA awarded the $72.8 million contract to Turner Construction Company in January 2010. The 545,000-square-foot building is comprised of eight levels: a basement, a ground level, and six additional stories. There also is a rooftop penthouse containing mechanical equipment.
The project scope includes the renovation of the exterior of the building and its grounds, the addition of an entrance pavilion, and the installation of permanent perimeter security. The permanent security measures were developed in accordance with the Interagency Security Committee (ISC) Security Design Criteria for New Federal Office Buildings and Major Modernization Projects.
Providing a secured entrance, the newly constructed pavilion masks its apparent mass and scale with a combination of granite and glazed walls. The main building's renovated faade vertically orients the glass to provide visually consistency with the modern, Stripped Classical style of the adjacent buildings. Charles Klauder designed both of FOB 8's neighbors: The Mary Switzer Building was constructed in 1939-1940. The Wilbur J. Cohen Building was constructed in 1939 for the Social Security Administration.
Views from FOB 8's windows include many other historically and architecturally significant structures, such as the Modernist-styled Hubert H. Humphrey Building designed by Marcel Breuer in 1976 and the Beaux Art-styled U.S. Botanic Gardens' glass-enclosed conservatory designed by Bennett Parsons & Frost in 1902. For outdoor greenspace, FOB 8's tenants are just one block north from the National Mall and can see dozens of tree species lining the area's pedestrian and transit pathways.
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Wausau Modernizes D.C. Federal Office Building's Renovated Exterior, Supports LEED Goals with ...
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May 30, 2012 12:15 am
By Joe Smydo/Pittsburgh Post-Gazette
A proposal to extend building and home construction incentives got off to a rocky start Tuesday when Councilman Patrick Dowd declined to introduce authorizing legislation submitted by Mayor Luke Ravenstahl.
Council's agenda called for Mr. Dowd, chairman of the Intergovernmental Affairs Committee, to introduce two bills extending the life and provisions of various property-tax abatement programs through June 30, 2017.
Mr. Dowd declined to introduce that legislation and two other bills, also submitted by Mr. Ravenstahl, that would set up a tax-increment financing program for a Buncher Co. development in the Strip District. Mr. Dowd said he had questions about the bills and wouldn't introduce them until Mr. Ravenstahl's office provided answers.
Mr. Ravenstahl's legislation would extend tax incentives for commercial, industrial and residential construction. The amount of the tax break would vary by the type, size and location of projects.
The legislation appeared on council's agenda on the same day that Buncher unveiled plans for 750 units of housing as part of its Strip District project.
Tax abatement has helped at least 13 major developments since 2007, according to the city's Urban Development Authority. The projects include Jack Benoff's development of 19 condominiums at 941 Penn Ave. in the Cultural District and the conversion of the old Otto Milk Co. building into 60 condominiums in the Strip District.
"I can tell you there are people who wouldn't have bought from us if we didn't have it," Mr. Benoff said.
Currently, the city has six construction incentive programs administered by the URA. In July, two programs will expire and two others will revert to less generous incentives without council action, according to information provided by the URA.
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Councilman shelves mayor's tax-break bill
What a difference a year makes.
Nearly a year to the day after the Lincoln Public Schools headquarters burned to the ground, city and district officials celebrated the new office building -- and commercial development -- that will replace it.
Unlike a year ago, this is a perfect day today, LPS Superintendent Steve Joel told a group of employees and local dignitaries who gathered on the dirt at 59th and O streets, where construction workershave been preparing the site for weeks.
The district is building a new multistory office building that will be close to 100,000 square feet. Officialsestimate the building will cost about $15 million.
Continuum, aDenver-based company that will develop the commercial space,will payLPS $2.3 million for 1.65 acres, plus another $580,000 to help with the site preparation. The developer also will spend $280,000 to create a "plaza-like" setting on the site.
LPS continues to negotiate with itsinsurance carrier, which had insured the building for up to $15.6 million.Sofar, the district has received about $11.7 millionof insurance money for the building, plus about $2.7 million forvarious expenses, including thetemporary building leases.The district also has gotten the bulk of $3.7 million for computer hardware.
Nancy Biggs, associate superintendent of human resources, said the district is submitting expenses as they incur them.
The districtalso is building a new data center for its computer systems and renovating the distribution center to house the district's print shop, and it is unclear at this point whether insurance will cover any ofthose costs.
Tuesday morning, however, was not about dollars and cents; it was aboutceremony: remembering what happened, thanking the community and celebrating the soon-to-be-builtheadquartersandthe impending arrival of Whole Foods Market, which will anchor the commercial space.The plan also calls for11,600 square feet of yet-to-be-determined commercial space.
We look on this as a new chapter, of remembering, welcoming and breaking ground, Joel said.
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LPS breaks ground on new district office and commercial space
by Amber Gillenwater mdtnews@mydailytribune.com Gallipolis Daily Tribune
GALLIPOLIS During a regular meeting on Tuesday, the Gallipolis City Commission passed an emergency ordinance rejecting bids for the construction of a city administration building.
According to Gallipolis City Manager Randy Finney, three bids came in for the construction of the project, at prices all above the engineers estimate.
The lowest bid came in from Brenmar Construction at $760,000, followed by a bid of $762,000 from Kinsale Construction and a bid of $766,000 from Hoon, Inc.
Finney reported that the bids were expected to come in at approximately $500,000 to $550,000.
Were $200,000 over what we thought we would be, so we need to make some decisions about where we need to go from here, Finney said.
Finney further reported that an increase in materials, prevailing wages and an increase in work for local construction companies may be to blame for the high bids.
Weve been seeing increases in materials, and I think the contractors are actually getting busier now. When we went out to bid last year [on the city justice center], they were desperate for work, and Kinsale took a rate just to keep his people busy, I think. Now people have jobs, and they have people working at different places and you can see the bids are very competitive, Finney said.
The city has plans to construct the administrative facility that will house the citys utility office, city managers office, tax office, code enforcement/parks and recreation and city auditors offices on city-owned property in the 300 block of Third Avenue.
Public hearings in regard to the construction of the facility were held earlier this year and the city was on schedule to begin to construct the facility soon after awarding of a bid. However, Finney also reported on his concerns about the lot located next to Peoples Bank proposed to be utilized in the construction.
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Commission rejects city admin building construction bids
A recent Anchorage study reports that our office market is one of the healthiest in the country with a vacancy rate of 6.1 percent, compared to 16 percent nationally. The study was done for the Building Owners and Managers Association by Reliant Advisory Services, a local commercial real estate appraisal and advisory company.
Office vacancy in the city is down about 1 percent from last year, with class A at 5.5 percent and class B at 7.8 percent. But the picture is not quite that simple. The vacancy in the class A market is split. The three newer class A buildings in Midtown account for about half of the vacant class A space in the entire city. The other half of the vacant space is scattered through all the other class A buildings in town.
One of the results of this split is that larger blocks of class A space are only available in the new buildings. The remaining class A space is mostly smaller spaces, sort of like Swiss cheese, scattered among various buildings.
Class B also has a split in vacancy rate but this split is between downtown and the rest of the city. While the overall citywide class B vacancy rate is 7.8 percent, downtown class B buildings show a vacancy of 16.3 percent. The Alaska Railroad has recently remodeled warehouse space on First Avenue into office space that will be occupied by the U.S. Forest Service later this summer. When that occurs, the downtown vacancy rate will drop to 11 percent. Even so, downtown will continue to have a high vacancy rate.
The higher class B vacancy downtown is because downtown class B tenants do not need to be downtown, so downtown landlords are competing with landlords all over town. This situation is not the same for downtown class A landlords, because their tenants are primarily government and legal entities who need or want to be downtown.
Rents are mostly the same as last year. Class A new is about $3 a square foot and older class A is about $2.65. Class B is about $1.85 but varies with the quality of the building.
Elsewhere in town, South Anchorage has about a 6.4 percent vacancy, mostly in the Dimond Center. East Anchorage has been stable, with mostly institutional-type tenants.
Leasing activity picked up some in 2011 and 2012 looks to continue this trend. But overall the activity is nowhere near the previous pace. Most tenants are happy to renew where they are and landlords are glad to have them, avoiding the cost of a vacancy, leasing and tenant improvements.
There is concern in the market that new construction is going to cause a higher number of vacancies, not so much in the buildings constructed but in the buildings vacated by tenants moving into new buildings -- office space musical chairs. Leasing activity is the result of tenants moving around, not of new or expanding tenants.
The new 83,000-square-foot Alaska Native Tribal Health Consortium building south of Alaska Native Medical Center will create a vacancy in its current East Anchorage location.
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Anchorage office market a bright spot in the nation
New plans for a large hotel and office building at San Antonio shopping center were met with more shock than support in a planning commission meeting last week.
"To realize we're potentially constructing the tallest structures in Mountain View, I was pretty surprised by that," said Environmental Planning Commissioner Chris Clark.
Developer Merlone Geier has proposed a 12-story, 167-foot-tall office building and parking garage as part of phase 2 of its redevelopment of San Antonio shopping center, an area that encompasses Beverages & More, Ross and Jo-Ann fabrics. To put that in perspective, the city's tallest building at 444 Castro St. is 145 feet tall.
The project also includes a 150- to 200-room hotel, 2,858 parking spaces and 66,000 square feet of ground floor retail facing a park along the Hetch-Hetchy right of way. Merlone Geier is already under construction on phase 1 of the project just south of the site, including a new Safeway, three apartment buildings and dozens of new retail spaces.
Residents packed the council chambers and expressed concern about the project's size and design and about several small businesses, including the Milk Pail Market, at the corner of San Antonio Road and California Street on property that Merlone Geier hopes to buy. The businesses face the possibility of having tall buildings towering in the background.
"I would trade the Milk Pail for this whole development," said resident Stephen Freiberg. "It's much more important to my family and the people that I know."
Merlone Geier's Mike Grehl said the 741,000 square feet of office space were necessary to subsidize the construction cost of the hotel, noting the city's longtime desire to have a full-service hotel and how the need for a $30 million city subsidy killed efforts to put one next to Google's headquarters several years ago. The developer says several hotel operators are already interested in operating the "high-quality, four-star hotel."
"A building that would be the tallest in Mountain View is, quite frankly, an equivalent gulp moment to a $30 million subsidy," said commissioner Todd Fernandez.
Commissioner Clark said he'd support heights up to seven stories, but "I think this is just over the top in terms of heights that are acceptable," echoing the sentiments of other commissioners. "This just doesn't seem like Mountain View."
He later added that the proposed uses would be "a good mix."
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San Antonio center to include Mountain View's tallest building?
Uploaded: Thursday, May 24, 2012, 11:34 AM
Merlone Geier seeks OK for city's tallest building Nearby small businesses say they're being forced out
by Daniel DeBolt Mountain View Voice Staff
Photos
"To realize we're potentially constructing the tallest structures in Mountain View, I was pretty surprised by that," said Environmental Planning Commissioner Chris Clark.
Developer Merlone Geier has proposed a 12-story, 167-foot-tall office building and parking garage as part of phase 2 of its redevelopment of San Antonio shopping center, an area that encompasses Beverages & More, Ross and Jo-Ann fabrics. To put that in perspective, the city's tallest building at 444 Castro St. is 145 feet tall.
The project also includes a 150 to 200-room hotel, 2,858 parking spaces and 66,000 square feet of ground floor retail facing a park along the Hetch-Hetchy right of way. Merlone Geier is already under construction on phase 1 of the project just south of the site, including a new Safeway, three apartment buildings and dozens of new retail spaces.
Residents packed the council chambers and expressed concern about the project's size and design and about several small businesses, including the Milk Pail Market, at the corner of San Antonio Road and California Street on property that Merlone Geier hopes to buy. The businesses face the possibility of having tall buildings towering in the background.
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Merlone Geier seeks OK for city's tallest building
SAGINAW TOWNSHIP, MI Motorists driving down Gratiot Road near Midland Road in Saginaw Township can expect to see construction crews this summer.
Gratiot Farms LLC is starting construction on an 8,750-square-foot building they hope to use for office space.
We are actually gearing up to start in the next couple weeks, said Gratiot Farms partner Nick Gibbons.
The building, located at 5880 Gratiot, is expected to contain three 2,500-square-foot medical office suites as well as an additional office space on about two acres of land.
Saginaw Township Planner Bridget Smith said the planning commission approved the project in October. The final piece of the approval process, the water main, was approved by the township's board of trustees last week. All that is left is the construction by Gratiot Farms.
Gibbons said the group has held the land for four or five years before starting this project.
Weve just been waiting for a good opportunity to do something and we felt now was the time, Gibbons said.
In addition to the building, Gratiot Farms LLC is constructing a road, Whitetail Creek Road, to connect to the building. The group owns 50 acres of land at the site and Gibbons said there are no concrete plans for the remaining land.
Weve got approximately 50 acres there. Were putting this first building up on the front left two acres, Gibbons said. Long term, were open to anything. If we get this one built and filled, were open to looking at other buildings.
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Crews gearing up for office construction project on Gratiot Road in Saginaw Township
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CHESTERFIELD COUNTY - A building under construction partially collapsed in the 200 block of E. Hundred Road in Chester on Thursday morning, injuring a construction worker.
The call came in around 8 a.m. after the worker fell from the wood frame structure when some of the roof trusses toppled like dominoes. Authorities say the injured worker fell 15-20 feet and landed in dirt. He was taken to the hospital, but is expected to be okay.
About 50 to 60 percent of the wood structure collapsed, said Keith Chambers, a Chesterfield Fire Marshal's Office spokesman.No one was inside at the time, and no other injuries are reported.
Chambers said the building under construction appeared to be a Bank of McKenney.
At this point it's not clear what caused the wood frame to collapse. The Chesterfield building inspector has been called to investigate.
Stay with 8News for updates.
Copyright 2012 by Young Broadcasting of Richmond
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