Construction estimates predict steady season.

[mthq]

Construction estimates predict steady season.

Construction work is expected to hold steady through 2004 at about the same levels as 2003, according to estimates of upcoming activity compiled by the University of Alaska Anchorage's Institute of Social and Economic Research.

ISER compiled the forecast on behalf of the Associated General Contractors Alaska, a construction industry's trade association.

The report shows an estimated $5.315 billion in new construction spending for the state, but ISER cautioned that an appropriation doesn't mean work will actually hit the street this year. Also, some projects are phased over several years.

"Estimating the share of expenditures that will occur in each construction season will be difficult," the ISER report said.

The overall level of construction spending is about the same as in 2003, according to Dick Catanach, executive director of the Associated General Contractors Alaska. The total amount is higher than previous estimates of annual spending put together by AGC because ISER was able to develop a more refined estimate than had been done previously, Catanach said. Some construction had been missed earlier, he said.

Overall, the amount of spending in 2004 will be similar to last year, Catanach said.

Private spending amounts to 61 percent of the total of the 2004 total and public spending will contribute 39 percent, according to the ISER report.

Within private sector spending, the petroleum industry is expected to contribute about half, or $1.5 billion. Catanach said oil and gas project expenditures dropped about $400 million between 2002 and 2003, but appear to be at about the same level in 2004 as in 2003.

The mining industry will spend about $300 million on new projects, and other basic industry will spend about $100 million, ISER said.

About $400 million be spent on commercial construction and $700 million on residential construction in the state, the report said. Another $250 million is expected to be spent on privately-funded infrastructure projects.

ISER predicted $2.065 billion will be spent by public agencies, including federal and state agencies and local governments in Alaska. About $550 million will be spent on defense-related construction, $350 million on highways and $300 million on other transportation infrastructure, $300 million on various other federal projects, and $300 million on school projects around the state.

Local governments are expected to spend $100 million on municipal projects, the Denali Commission will spend $100 million on rural infrastructure projects, and the Alaska Railroad, a state corporation, plans $65 million in capital improvements this year.

The estimates should not be taken as final numbers, ISER cautioned in its report. "Our estimate is subject to error because some industries are reluctant to reveal their investment plans for fear of alerting their competitors, and some have not competed their planning for the year," the ISER report said.

[urbanguy]

Good news! BTW do you guys have a lot of housing/apartment construction going on up there? i remember posting some renderings of one neighborhood at the old forum but i cant remember if there were others? Is there any particular part of town that is developing faster than other areas?

[M. Brown]

Yeah Anchorage's population seems to be growing pretty fast.

[mthq]

well the one you posted on teh old forum is the Muldoon Town Center which is a redevelopment of a rundown area. Otherwise, yes there will be over 1000 condo's built in the Anchorage bowl this summer. Since we no longer have room, single family housing construction has been discontinued since around 2001-2002.

[urbanguy]

Gosh thats so hard to believe that you guys would run out of room in ALASKA!!!!!

[M II A II R II K]

I was once told that Anchorage is surrounded by natural barriers as well as preservation areas and a military base which restricts it's growth. I guess they would have to build up or expand through the knik arm or something.

[mthq]

^MARK, check out the "Alaska bridge to nowhere" in the CE at SSP. Slim Pickens and I do a good job explaining why the Knik Arm bridge is a poison injection for Anchorage.

but yes, the Knik Arm bridge is being taken more seriously than it ever has in the last 50 years, but its clearly being runned by a commitee of short minded people who can only see sprawl and nothing else.

[urbanguy]

They should move that damn military base its like right in a prime location send them on the other side of the bridge! BTW is Elmendorf the only base in the city or ?

[mthq]

moving the base would cause billions and billions of dollars spent. But yes Elemdorf is the only base which sits next to Fort Richardson. My idea is just to simply urbanize Anchorage by 'compacting' it -downtown style- and building up.