Metal Architecture, Jan 2021

12 METAL ARCHITECTURE January 2021 metalarchitecture com SPECIAL FEATURE Following one of the most difficult years in decades the industry looks forward to a more positive 2021 2021 State of the Industry Looking back at our State of the Industry report in the February issue last year our contributors were optimistic about 2020 In retrospect we were not surprised to see that none them predicted a global pandemic and massive economic shutdown It was possible if one could have read the tea leaves deep enough to have foreseen such a consequence but no one and by that we mean no one did Still the metal construction industry fared better than most industries and for that we should be grateful Coming into 2021 our State of the Industry participants retain their sense of optimism but this time it is less likely to be undone by the unforeseeable As we write this COVID 19 vaccines are being distributed and predictions are that every American will be vaccinated by June Again we should be grateful The future seems to be brighter than it has in many years past especially because we are emerging from such dark times But identifying what part of the uncertain future holds the most promise is now our charge and the following pieces will we hope give you a sense of direction U S Put in Place Construction Outlook By Alex Carrick Chief Economist ConstructConnect While the U S economy is in recovery mode it remains under stress in a fashion not seen in more than a century The onset of the coronavirus health crisis in the spring caused an unprecedented collapse in economic activity that is being reversed but more gradually than was initially expected Hopes for a smooth progression of upwards growth to flow from store and restaurant re openings have been waylaid by a winter upsurge in COVID 19 infections with the prospect that demands on the health care system will worsen before beginning to ease once again On the upside effective vaccines developed by several pharmaceutical companies will soon be available to protect the most vulnerable members of the public with wider distribution to proceed over the first half of next year STRENGTH IN RESIDENTIAL REAL ESTATE The construction marketplace is diverging along residential versus nonresidential lines with the former more buoyant than the latter Major indicators of U S residential real estate focusing on sales price levels and number of months inventory of supply for both new and existing homes are showing strength The jobs recovery ratio for the entire economy versus February Aprils huge contraction in employment may presently be only 50 but thats not placing much of a damper on the several good reasons for the sizable uptick in housing demand With the options for spending on dining out theater engagements and so on greatly reduced the nations savings rate has shot up to 15 or more from a long term average of about 8 More savings have permitted a faster accumulation of down payments for new homes The notion that employees fortunate enough to have retained their positions are racking up savings will figure prominently later in this article Its also contributing to record breaking highs in stock market indices Source of actuals U S Census Bureau Forecasts ConstructConnect Chart ConstructConnect CanaData