CLIPBOARD : Non-Residential Building Valuations

Commercial construction continues to be sluggish in 1991, at least in terms of money committed. The value of nonresidential construction permits was off 37% for the first two months of the year, compared to 1990. That’s something of an improvement, though, from January, when the total was down 64% from last year.

Of the five major kinds of commercial construction, only alterations/additions is showing an improvement over last year’s comparable total. It has increased 8%. Industrial buildings and hotels/motels, however, are both down nearly 90%.

Orange County has received only 16% of the commercial action in the Southern California five-county urbanized area (that is, Orange and its four contiguous neighbors). Last year it was 19%.

Just 9% of the value of all the commercial permits let in the state have been for Orange County projects, down slightly from the 11% share for 1990’s first two months. The best county showing is in office buildings, where 16% of the 1991 statewide action has been here.

This is how the 1991 January-February period compares to last year:

1990-91 1991 % of Jan.-Feb. Jan.-Feb. Percent 5-County Building Type 1990 1991 Change Total Industrial $19,138 $2,392 -88 2 Office 42,430 36,877 -13 24 Stores/Mercantile 30,092 22,022 -27 19 Hotels/Motels 11,292 1,388 -88 11 Alterations/Additions 60,554 65,507 +8 18 TOTAL BUILDING* $219,719 $138,043 -37 16

1991 % of State Building Type Total Industrial 1 Office 16 Stores/Mercantile 10 Hotels/Motels 7 Alterations/Additions 10 TOTAL BUILDING* 9

Note: Amounts listed in thousands of dollars, not adjusted for inflation.

* Includes the above categories plus others not shown.

Source: Construction Industry Research Board