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Carolina News - January 2009

NCDOT’s Stimulus Wish List Abounds with Major Projects

The North Carolina Department of Transportation’s wish list of projects ready to go within 180 days, for the expected federal highway stimulus plan, ranked as one of the biggest in the nation, totaling roughly $5.2 billion.

While NCDOT has been awarding a significant amount of contracts recently, in December the department started laying off workers and reevaluating project needs.

“The North Carolina Department of Transportation is having to lay off temporary workers in its field offices and take other measures, because of funding cutbacks on the federal level as well as a drop in collections from the state motor fuels tax and states sales tax on motor vehicles, the primary sources of money for the department,” stated Gov. Michael E. Easley in a Dec. 5 press release. “The money for road work by these temporary employees is just not here because of the cuts on the federal level and slowdown in state revenues.”

North Carolina’s list includes 35 new major construction projects with an estimated value of about $3.25 billion. Another 53 projects that are anticipated to be deferred add another $1.2 billion to the total. An estimated $730 million would be needed to fund 208 other projects that involve either pavement and bridge rehabilitation or reconstruction.

The state’s list includes some large contracts. The biggest is a $733 million contract to build the Western Wake Freeway. Contracts for the Interstate 295 Fayetteville Outer Loop add up to more than $360 million. A single contract in Rowan and Davidson counties on Interstate 85, including construction of the Yadkin River Bridge, has an estimated cost of $330 million. A pair of contracts for the U.S. 17 Wilmington Bypass total more than $315 million, and a single Triangle Parkway contract is estimated at $185 million. A design-build contract for a bridge over Oregon Inlet on N.C. Highway 12 is tagged at $300 million. Some other major contracts include: U.S. 74 Shelby Bypass - $235 million; U.S. 70 Goldsboro Bypass - $115 million; Interstate 73/74 from Ellerbee to Rockingham - $209.5 million; and Interstate 485 in Mecklenburg County - $122.6 million.

November Contracts: N.C. Down 27%; S.C. Declines 32%

Compared to the same period of a year ago, the value of new contracts signed in November for future construction fell by 27% overall in North Carolina, and by 32% in South Carolina, according to the latest information from McGraw-Hill Construction, publisher of Southeast Construction.

In North Carolina, the overall total for new project starts was roughly $1.2 billion, down from last November’s $1.7 billion.

The value of new residential contracts dropped by 54%, compared to a year ago, to tally $437.4 million. The nonresidential sector fell by 12% to total about $403.8 million, compared to last November’s $457.1 million. The nonbuilding sector – which includes infrastructure projects – improved by about 32% to total about $402.9 million, which compares to the year-ago figure of $304.1 million.

For the year-to-date, North Carolina is 21% behind 2007. The residential sector is 39% behind last year, and totals roughly $8.8 billion in new starts. The nonresidential market is 6% behind ’07, with about $5.7 billion in new starts. The nonbuilding sector’s roughly $3.9 billion total is about 46% ahead of 2007.

In South Carolina, November contracts were 32% lower than the same period of a year ago, and totaled roughly $562.8 million. That compares to last November’s total of roughly $828.8 million.

The nonresidential sector fell 45% compared to last November for a $203.9 million total. Residential fell 40% for a $244.3 million monthly total. The value of nonbuilding contracts more than doubled compared to a year ago for a total of $114.6 million.

For the year-to-date, the value of new starts in South Carolina is 31% behind 2007’s pace. Residential is 29% below last year, and totals roughly $4.5 billion to date. Nonresidential is 48% behind 2007, with a cumulative total of $3.3 billion. The nonbuilding segment is 52% ahead of 2007’s pace, with a nearly $1.9 billion total.

Innovista Hires KIRCO to Build Horizon II in Columbia, S.C.

Innovista, a private-sector developer, has hired KIRCO, a commercial real estate development and construction company based in Michigan, as the contractor for the Horizon II building in Columbia, S.C.

“We’re pleased to announce this next step in the building process for Horizon II,” said John Parks, executive director of Innovista and associate vice president for economic development at The University of South Carolina. Construction started last November.

The 110,000-sq-ft Horizon II building is estimated to cost between $20 million and $25 million. The five-story building will serve as office space for private companies and other entities that are collaborating with University of South Carolina researchers.

Skanska Completes $44-Million Performing Arts Facility

The Durham, N.C., office of Skanska USA Building has completed the $44 million Durham Performing Arts Center. The 110,000-sq-ft center contains 2,800 seats and will accommodate a wide variety of arts and entertainment programs.

The new facility includes fixed seating and a fixed stage with space for music, theater and dance use. DPAC also includes dining and ancillary arts spaces for set design, rehearsal and costume storage. Just 135 ft separate the front of the stage and the farthest seat in the house.

 

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