Despite some tightening in the capital markets, construction activity in California, as measured by building permit values, continued to increase in September, according to a report by the Construction Industry Research Board.
Total construction volume for the state increased $3.44 billion in September, up 4% from August and up 18% from September 1997. Nonresidential building made up $1.35 billion of the $3.44 billion, down 3.8% from August, but up 11.4% from September 1997.
Year-to-date, the state's nonresidential construction totaled $11.15 billion, up 21.6% from the year-ago period. Southern California construction accounted for 50% of that total, slightly less than the region's annual average share of 60%, according to surety and insurance broker Lamberson Koster & Co.
"Assuming a stable economy and no significant impact from international concerns, we will continue to have overall strong activity,' says Ben Bartolotto, director of the construction research group.
September's nonresidential building permits in the Southland included a $43.7 million subterranean garage for a mixed-use project in Santa Monica, $34.3 million in foundation work for a mall in Mission Viejo and a $30.8 million office project in Irvine.