Construction spending for education expanded modestly but steadily through March, while at the same time growth for other institutional construction had stalled earlier in 2009.
Education spending is now at or near the peak for this building cycle. The value of education starts is off 9% year-to-date compared to 2008. April starts fell 14% to the lowest total in more than three years. BD+C projects a 3–4% dip in education construction spending into early 2010, and then a recovery by the end of next year, which will bring spending up to early 2009 peak levels. Public education spending is up 6.4% in the past year but spending in the smaller, private sector dropped 0.4%. Funding for private education projects is very sensitive to current economic conditions, specifically tuition payments from current income and investment earnings.
College construction spending is up 12.2% from a year ago, but K-12 spending is up only 3%. Colleges boosted spending for instructional space 20.6% over the past year. Dormitory spending was up only 5%. These increases are the result of the relatively rapid expansion of community colleges and part-time programs for working adults. The small expansion of K-12 construction spending was entirely for high schools, which is up 7.9% over the last year. Middle school construction spending was steady, while elementary spending fell about 3%. These differences mirror enrollment changes. The peak enrollment is now in the 10th grade, which puts more pressure on high schools.
The reason the education construction recession is relatively modest is largely due to nearly $200 billion in state and local government aid included in the stimulus plan. This money is being paid out quickly because it's not linked to specific projects. These new funds offset the huge negative impact of reduced tax receipts in FY 09–10. Without the stimulus funds, a deep recession in public education construction would occur in 2009–10. Instead, most of the recession will be offset, with the balance deferred to 2011–12.
Related Stories
Museums | Mar 11, 2024
Nebraska’s Joslyn Art Museum to reopen this summer with new Snøhetta-designed pavilion
In Omaha, Neb., the Joslyn Art Museum, which displays art from ancient times to the present, has announced it will reopen on September 10, following the completion of its new 42,000-sf Rhonda & Howard Hawks Pavilion. Designed in collaboration with Snøhetta and Alley Poyner Macchietto Architecture, the Hawks Pavilion is part of a museum overhaul that will expand the gallery space by more than 40%.
Performing Arts Centers | Feb 27, 2024
Frank Gehry-designed expansion of the Colburn School performing arts center set to break ground
In April, the Colburn School, an institute for music and dance education and performance, will break ground on a 100,000-sf expansion designed by architect Frank Gehry. Located in downtown Los Angeles, the performing arts center will join the neighboring Walt Disney Concert Hall and The Grand by Gehry, forming the largest concentration of Gehry-designed buildings in the world.
Giants 400 | Feb 8, 2024
Top 20 Public Library Construction Firms for 2023
Gilbane Building Company, Skanska USA, Manhattan Construction, McCownGordon Construction, and C.W. Driver Companies top BD+C's ranking of the nation's largest public library general contractors and construction management (CM) firms for 2023, as reported in Building Design+Construction's 2023 Giants 400 Report.
Giants 400 | Feb 8, 2024
Top 30 Public Library Engineering Firms for 2023
KPFF Consulting Engineers, Tetra Tech High Performance Buildings Group, Thornton Tomasetti, WSP, and Dewberry top BD+C's ranking of the nation's largest public library engineering and engineering/architecture (EA) firms for 2023, as reported in Building Design+Construction's 2023 Giants 400 Report.
Giants 400 | Feb 8, 2024
Top 50 Public Library Architecture Firms for 2023
Quinn Evans, McMillan Pazdan Smith, PGAL, Skidmore, Owings & Merrill, and Gensler top BD+C's ranking of the nation's largest public library architecture and architecture/engineering (AE) firms for 2023, as reported in Building Design+Construction's 2023 Giants 400 Report.
Giants 400 | Feb 8, 2024
Top 35 Performing Arts Center and Concert Venue Construction Firms for 2023
The Whiting-Turner Contracting Company, Holder Construction, McCarthy Holdings, Clark Group, and Gilbane Building Company top BD+C's ranking of the nation's largest performing arts center and concert venue general contractors and construction management (CM) firms for 2023, as reported in Building Design+Construction's 2023 Giants 400 Report.
Giants 400 | Feb 8, 2024
Top 40 Performing Arts Center and Concert Venue Engineering Firms for 2023
KPFF Consulting Engineers, Morrison Hershfield, ME Engineers, Thornton Tomasetti, and Arup top BD+C's ranking of the nation's largest performing arts center and concert venue engineering and engineering/architecture (EA) firms for 2023, as reported in Building Design+Construction's 2023 Giants 400 Report.
Giants 400 | Feb 8, 2024
Top 60 Performing Arts Center and Concert Venue Architecture Firms for 2023
Populous, DLR Group, Gensler, HGA, and Perkins Eastman top BD+C's ranking of the nation's largest performing arts center and concert venue architecture and architecture/engineering (AE) firms for 2023, as reported in Building Design+Construction's 2023 Giants 400 Report.
Giants 400 | Feb 8, 2024
Top 40 Museum Construction Firms for 2023
Turner Construction, Clark Group, Bancroft Construction, STO Building Group, and Alberici-Flintco top BD+C's ranking of the nation's largest museum and gallery general contractors and construction management (CM) firms for 2023, as reported in Building Design+Construction's 2023 Giants 400 Report.
Giants 400 | Feb 8, 2024
Top 40 Museum Engineering Firms for 2023
Arup, KPFF Consulting Engineers, Alfa Tech Consulting Engineers, Kohler Ronan, and Thornton Tomasetti top BD+C's ranking of the nation's largest museum and gallery engineering and engineering/architecture (EA) firms for 2023, as reported in Building Design+Construction's 2023 Giants 400 Report.