CLIPBOARD: Non-Residential Building Valuations

The sick man that is commercial construction in Orange County continued to show no signs of improvement after the first five months of the year. During the January-May period, the value of permits issued for commercial building was just $230 million, 39% less than the comparable figure for 1991.

The total value of permits for industrial buildings, offices and stores/mercantile buildings dropped below last year’s numbers by at least half; hotel/motel construction is non-existent in the county. The 18% decline in alterations and additions was a comparative bright spot.

Orange County’s overall drop from last year puts it in a midway position vis-a-vis the rest of Southern California. In the five other urbanized counties, three--Los Angeles (-31%), Riverside (-13%) and Ventura (-28%)--fared comparatively better. Two--San Bernardino and San Diego (-48% and -49%, respectively)--suffered worse declines. The statewide total was down 21%.

Of all the commercial construction permits issued during the first five months in the regional six counties, 14% were for Orange County projects; 7% of the value of all permits issued statewide occurred here.

Here’s how the first five months of 1992 compared to last year:

1992 % of Jan.-May Jan.-May 1991-1992 6-County Building Type 1991 1992 % Change Total Industrial 18,789 $8,143 -56.7 8 Office 77,945 18,490 -76.3 15 Stores/Mercantile 57,224 29,787 -47.9 12 Hotels/Motels 1,211 0 -100.0 0 Alterations/Additions 166,337 135,858 -18.3 17 TOTAL BUILDING* $379,507 $230,484 -39.3 14

1992 % of State Building Type Total Industrial 3 Office 6 Stores/Mercantile 6 Hotels/Motels 0 Alterations/Additions 9 TOTAL BUILDING* 7

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

* Includes the above categories plus others not shown.

Source: Construction Industry Research Board