Houston’s Monthly Metrics: February 2015
The following article originally appeared in the February newsletter to clients of Kiley Advisors, LLC for the purpose of providing the latest leading indicators and industry issues to those clients. Reprinted with permission.
Despite the recent dip in oil prices, 2015 continues to look like a good year for the commercial construction market in Houston. And while 2015 is not expected to be the same pace as 2014, a slowdown was already expected as the 2014 levels of construction in some markets were unsustainable. For instance, 2014 saw records broken in light industrial and retail markets, with near records in the office market. To continue at that pace would mean that Houston would run the risk of overbuilding, a scenario no contractor from the 80’s wants to see repeated.
So which markets are the winners and losers of 2015? In short, there are no real losers. All markets, while some will slow, will still post very respectable numbers. Our sister industries, residential and industrial, will continue to be strong, particularly industrial. [node:read-more:link]