Press Releases

Seven Reasons Why Now Is A Great Time To Build

August 28, 2008

Given the struggling economy currently plaguing our nation, it might seem counterintuitive to suggest that now is an excellent time to undertake a construction project. But the fact is, there are a number of reasons why building now makes an enormous amount of sense.

  1. During an economic downturn, competition intensifies in all industries, including construction, with more companies competing for the reduced amount of business. This increased competition leads to lower prices. As a buyer of construction services, you receive a higher return on your investment.
  2. While the cost of construction materials has skyrocketed over the past several years, recent lowered demand has caused some leveling off, and in a few cases, a reduction in the cost of raw materials and equipment.
  3. Attempts to stimulate job growth and spur the economy have led to government tax and investment incentives, further boosting return on investment.
  4. Green building technology has not only progressed, but become much more affordable. In many instances, the potential life cycle cost savings over the life of the building are greater than your initial investment! There are also government rebate programs that encourage spending on renewable and energy-efficient products.
  5. Though lending standards have tightened, money is still available at low interest rates to those with good credit histories. Remember, banks are in the lending business, and a sound, well-planned development can always find funding. (Note also that even a small increase in interest rates translates to tens of thousands of dollars or more over 10, 15 or 20 years.)
  6. Zoning and permitting can be a lengthy process, sometimes taking as much as one-to-two years before construction can begin. Starting the process now is critical if you want to get a jump on the competition when the economy picks up. And you probably have more time now, while things are a bit slow, to focus on planning your project.
  7. Buying land and making capital improvements is always a worthwhile investment, and building and using the new facility to grow your business has its own returns, including employee recruitment and retention. And doing so now positions you well for the inevitable economic turnaround.