New Jersey Construction Estimates Hit Record
$30.7 Billion Despite Economic Woes
A record total of $30.7 billion in public and private construction over the next two years, despite the troubled national economy and New Jersey’s fiscal problems, was reported today at the annual Construction Forecast Seminar sponsored by the New Jersey Alliance for Action in Trenton.

The figures represented the highest amount in the 23 years that the Alliance has held the forecast seminars. The new totals were 5% higher than the-then record $29.2 billion projected last year.

In hailing the new record, Alliance President Philip K. Beachem said the construction industry is the leading generator of new state revenues and “is the best way to emerge from New Jersey’s fiscal problems.”

The breakdowns for the two year period were $14.1 billion for 2008 and $16.6 billion for 2009.

Leading the way in the private sector for planned construction over the next two years was New Jersey’s Pharmaceutical and Medical Technology industry with $3.5 billion projected.

On the public side, the Port Authority of New York and New Jersey was high with $3.7 billion.

An optimistic note for the future was sounded by Joseph Corbo, President of the Casino Association of NJ, which provided a figure of $2 billion for 2008 and 2009. However, Corbo stressed that this will be “the calm before the storm.” He reported that casino construction will soar to $9 billion within the next three to four years.

Other major two-year construction estimates from the private sector were:

1. New Jersey Utilities, nearly $2.9 billion.
2. National Association of Industrial Office Properties, NJ Chapter, $2.2 billion.
3. Construction Roundtable of New Jersey, $766 million.

1. New Jersey Healthcare Facilities Financing Authority, $1.7 billion.
2. New Jersey Department of Transportation, $1.45 billion.
3. New Jersey Environmental Infrastructure Trust, $1.4 billion.
4. New Jersey Turnpike Authority, $1.2 billion.

NEW JERSEY ALLIANCE FOR ACTION CONSTRUCTION FORECAST SEMINAR November 8, 2007

AGENCIES 2008 PROJECTED 2009 PROJECTED TOTAL PROJECTED Casino Association of NJ $500M $1500M $2000M Colleges & Universities   County 120M 75M 195M   State 475M 341M 816M   Independent 266M 370M 636M Construction Roundtable of NJ 378M 388M 766M NJ Utilities 1490M 1397M 2887M Delaware River Port Authority 90M 380M 470M Delaware River Joint Toll Bridge Commission 129M 142M 271M National Association of Industrial & Office Properties 1100M 1100M 2200M NJ Department of Environmental Protection 112M 270M 282M NJ Department of Transportation 725M 725M 1450M NJ Department of Treasury (Buildings) 174M 30M 204M NJ Economic Development Authority 549M 831M 1380M NJ Environmental Infrastructure Trust 700M 700M 1400M NJ Health Care Facilities Financing Authority 850M 835M 1685M NJ Pharmaceutical & Medical Tech Companies 1790M 1760M 3550M NJ Schools Development Authority 253M 0M 253M NJ Society of Municipal Engineers 360M 360M 720M NJ State Association of County Engineers 437M 365M 802M NJ TRANSIT 265M 500M 765M NJ Turnpike Authority 503M 670M 1173M NJ Water Supply Authority 3M 3M 6M Port Authority of NY/NJ 1700M 2000M 3700M South Jersey Transportation Authority 30M 130M 160M US Army Corps of Engineers (New York District) 830M 1300M 2130M US Army Corps of Engineers (Philadelphia District) 90M 325M 415M Casino Reinvestment Development Authority 200M 200M 400M TOTAL $14119M $16597M $30716M