Colorado’s construction industry was hammered during the Great Recession, which officially stretched from December 2007 to June 2009, the longest, steepest decline since the Great Depression of the 1930s. The damaging effects lingered.
But that was then. And this is now: the construction sector of the state economy is expected to boom this year, following strong growth last year. Led by residential construction, the industry is expected to add 11,000 jobs or grow by 8.7 percent, according to economist Richard Wobbekind of the University of Colorado Boulder’s Leeds School of Business.
Total housing permits are expected to grow by 17.5 percent with gains in both single and multifamily units, which will go to meeting suppressed demand, and the total value of construction is expected to reach the second highest level in the past decade, rising by 14.8 percent this year.
The prospects for housing are part of the optimistic overall report released last month at the 49th annual Colorado Business Economic Outlook Forum. The outlook featured forecasts and trends for 13 business sectors prepared by more than 100 key business, government and industry professionals.
Wobbekind, executive director of the Leeds School’s Business Research Division, delivered the sunny forecast.
Colorado is expected to add a total of 61,300 new jobs this year, compared to 66,900 jobs in 2013, giving the state back-to-back strong performances, he reported.
“With Colorado’s skilled workforce, high-tech diversified economy, relatively low cost of doing business, global economic access and exceptional quality of life, the state is poised for long-term economic growth,” Wobbekind wrote in the outlook.
“After the deep recession we encountered as a state and a nation, it is really a relief to be reporting strong positive job growth in Colorado.”
The entire economic outlook report can be viewed here.