Covid raising costs for New York contractors

Nearly half of firms say lack of personal protective equipment delayed construction

New York /
Mar.March 16, 2021 11:30 AM
NY contractors see rising costs due to COVID-19. (Getty)

NY contractors see rising costs due to COVID-19. (Getty)

New York contractors are seeing their projects set back by Covid outbreaks and shortages of personal protective equipment.

About 46 percent of contracting firms surveyed by the Associated General Contractors of America said they faced construction delays from a lack of protective gear.

About 41 percent said work had been slowed by potential coronavirus infections on-site, the Commercial Observer reported. About one-third said they were not experiencing any delays.

But perhaps more troubling is that the cost of materials has risen during the pandemic. About 84 percent said materials, parts and supplies were more expensive than they were a year ago. The construction companies also said that personal protective equipment expenditures had raised costs.

Even with the vaccine rollout and increasing optimism about New York City’s real estate market, only about 38 percent said their business volume was back to pre-pandemic levels.

New York City recently said it would revive about $17 billion in municipal construction projects after the city stopped contracting projects at the start of the pandemic.

[CO] — Keith Larsen 


Related Articles

arrow_forward_ios
Thor Equities Group Chairman Joseph J. Sitt. (Thor)
Thor facing foreclosure on Harlem rental building
Thor facing foreclosure on Harlem rental building
Photo illustration of Vornado CEO Steven Roth and Hotel Pennsylvania at 401 Seventh Avenue (Getty, iStock, Vornado)
“Inevitable”: Vornado will demolish Hotel Pennsylvania
“Inevitable”: Vornado will demolish Hotel Pennsylvania
The rate of loans sent to special servicers continued to fall in March. (Unsplash)
CMBS special servicing rate declines in March
CMBS special servicing rate declines in March
Sao Carlos CFO Fabio Itikawa. (Getty, YouTube via Levante Investimentos)
In pandemic-battered Brazil, 3G Capital founders hunt for real estate deals
In pandemic-battered Brazil, 3G Capital founders hunt for real estate deals
Tesla’s Gigafactory (Tesla)
Over 340M sf of industrial space set for delivery in 2021
Over 340M sf of industrial space set for delivery in 2021
JLL CEO Christian Ulbrich. (Getty)
JLL explores sale of China property management wing
JLL explores sale of China property management wing
Dollar General CEO Todd Vasos (Retail Industry Leaders Association, iStock)
Dollar General thrives amid retail apocalypse
Dollar General thrives amid retail apocalypse
Bill Lee (Lee & Associates/YouTube)
Lee & Associates founder Bill Lee dies
Lee & Associates founder Bill Lee dies
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...