Construction Economics
ENR publishes both a Construction Cost Index and Building Cost index that are widely used in the construction industry. This website contains an explanation of the indexes methodology and a complete history of the 20-city national average for the CCI and BCI. Both indexes have a materials and labor component. In the second issue of each month ENR publishes the CCI, BCI, materials index, skilled labor index and common labor index for 20 cities and the national average. The first issue also contains an index review of all five national indexes for the latest 14 month period.
Current Cost Indices
|
Annual escalation, measured by the CCI, held steady at 3.2% for the second consecutive month. |
20-CITY:
1913 = 100 |
SEPT 2010
Index Value |
% change
Month |
% change
Year |
| Construction Cost |
8857.40 |
+0.2 |
+3.2 |
| Common Labor |
18893.03 |
+0.3 |
+3.3 |
| WAGE $/HR. |
35.90 |
+0.3 |
+3.3 |
|
|
Annual escalation, measured by the CCI, held steady at 3.2% for the second consecutive month. |
20-CITY:
1913 = 100 |
SEPT 2010
Index Value |
% change
Month |
% change
Year |
| Building Cost |
4910.41 |
+0.1 |
+3.1 |
| Skilled Labor |
8517.21 |
+0.2 |
+3.2 |
| WAGE $/HR. |
47.27 |
+0.2 |
+3.2 |
|
|
A 0.3% decline in lumber prices offset a 0.2% increase in cement prices as steel costs held steady. |
20-CITY:
1913 = 100 |
SEPT 2010
Index Value |
% change
Month |
% change
Year |
| Materials |
2703.53 |
-0.7 |
+2.8 |
| CEMENT $/TON |
102.90 |
+0.2 |
+1.5 |
| STEEL $/CWT |
45.22 |
0.0 |
+3.8 |
| LUMBER $/MBF |
396.58 |
-0.3 |
-0.4 |
|
 |
Recession Is Wearing Down Concrete Prices
Ready-mix concrete prices declined between 0.5% and 1.4% this month, according to ENR’s 20-city average price. This dip wiped out July’s 1.2% hike and a 0.1% increase in August, bringing prices back to last June’s level. The decline left concrete prices averaging 1.6% above September 2009’s level, which is down from August when concrete prices averaged annual gains of 2.7%. Portland cement prices managed a 0.3% increase this month, following a 0.2% increase in August. The back-to-back monthly increases helped to keep portland cement prices 1.7% above a year ago, up 0.2% from August’s annual pace.
|
- Construction Cost Index History
200 hours of common labor at the 20-city average of common labor rates, plus 25 cwt of standard structural steel shapes at the mill price prior to 1996 and the fabricated 20-city price from 1996, plus 1.128 tons of portland cement at the 20-city price, plus 1,088 board-ft of 2 x 4 lumber at the 20-city price.
- Building Cost Index History
68.38 hours of skilled labor at the 20-city average of bricklayers, carpenters and structural ironworkers rates, plus 25 cwt of standard structural steel shapes at the mill price prior to 1996 and the fabricated 20-city price
Prices for construction pipe products are showing varied results ranging from steady increases for ductile iron pipe to a sharp rebound for reinforced concrete pipe to a large roll back for PVC water pipe. However, overall prices for many pipe products remain well above last year’s depressed levels. The largest year-to-year increase is 10.8% for 1/2-in. copper water tubing, followed by 10.2% increase for 8-in. DIP. Corrugated steel pipe prices are up between 4% and 7% from August 2009, according to ENR’s 20-city average price. PVC water and sewer pipe have the most modest increases, ranging from 2% to 5%.
from 1996, plus 1.128 tons of portland cement at the 20-city price, plus 1,088 board-ft of 2 x 4 lumber at the 20-city price.
Cost Index History Tables by City
The building and construction cost indexes for ENR’s individual cities use the same components and weighting as those for the 20-city national indexes. The city indexes use local prices for portland cement and 2 X 4 lumber and the national average price for structural steel. The city’s BCI uses local union wages, plus fringes, for carpenters, bricklayers and iron workers. The city’s CCI uses the same union wages for laborers.
ENR Cost Indexes in 20 Cities 1978-2010
Atlanta, GA |
Baltimore, MD |
Birmingham, AL |
Boston, MA |
Chicago, IL |
Cincinnati, OH |
Cleveland, OH |
Dallas, TX |
Denver, CO |
Detroit, MI |
Kansas City, MO |
Los Angeles, CA |
Minneapolis, MN |
New Orleans, LA |
New York, NY |
Philadelphia, PA |
Pittsburgh, PA |
San Francisco, CA |
Seattle, WA |
St. Louis, MO |
ENR Cost Indexes in Canadian Cities 1978-2010