CAPE GIRARDEAU CONSTRUCTION: RESIDENTIAL PERMIT INCREASES OFFSET SMALL COMMERCIAL DECLINE IN FIRST QUARTER

Construction spending is up for the first quarter of 1998 in Cape Girardeau, with increases in residential building offsetting a small decline in commercial projects.

Total construction for the three-month period totaled $7,980,786, compared to $5,187,588 for the same period a year ago, up more than 35 percent.

Construction was off to a good start in January and February, said Brenda D. Schloss of the city's inspection services.

More than 40 permits were issued in Februry -- amounting to more than $4 million -- over half the year's total to date.

That dropped to $1.7 million in March, following a cold-weather spree that saw temperatures dip between 10 to 22 degrees during one week. A low of 10 was recorded March 12, following a high of 28 the day before.

The residential market for January, February and March was steady, more than double that of the same period in 1997, when only 10 permits were issued for new homes, averaging about $130,000 each.

The 1998 single-family housing totals are impressive -- 17 new home starts at a cost of $2.9 million, or an average of $171,926 each. That average was bolstered by two residential permits for more than $450,000 each.

Through March, total residential permits, including multi-family housing units and 39 permits for remodeling, additions, and other alterations, the construction totals jump to $4,460,000, well ahead of the same period in 1997, when total residential permits accounted for $1.6 million.

Commercial construction for the quarter decreased slightly from a year ago. A total of eight new constructions were issued this year, in the amount of $2,999,000, compared to nine new structures at a cost of $3.2 million in 1997.

Overall commercial projects for 1998, including additions and alterations, total $3.2 million, compared to the overall total of 1996 at $3.6 million.

The larger commercial projects for 1998 include at least four warehouses, at a combined cost of more than $1.5 million.

These construction costs do not include nonbuilding construction -- streets, highways and bridges.

The Missouri Highway and Transportation Commission awarded two construction contracts totaling $29.5 million for the Bill Emerson Memorial Bridge, with work expected to resume on the bridge next month.

The commission hired Massman Construction Co. of Kansas City to build the substructure of the Illinois approach span for the new bridge at Cape Girardeau, which includes bridge piers and steel girders that will provide support for the bridge deck.

The bridge deck itself and concrete paving project will be awarded in a separate contract next year.

Also not included in Cape Girardeau totals is sewer work done by Cape Girardeau crews.

Meanwhile, construction activity in Missouri is up about one percent from $811.6 million a year ago to $822.9 for the first two months of this year.

These totals are compiled by F.W. Dodge Division of the McGraw-Hill Companies, which keeps tabs on construction activities.

Nonresidential construction in the state, which includes commercial, manufacturing and other buildings not designed for shelter, is up more than 30 percent during the first two month, from $303.4 million in 1997, to $393.7 million this year.

Residential construction for single and multi-family homes for the year is also up by 11 percent, from $299.2 million to $332.4 million.

The big negative in state construction is in the nonbuilding category, which is down more than 50 percent, from $208.9 million in 1997, to less than $100 million ($96.8 million) this year.

The pattern reflects a national trend with construction experiencing an increase in houses while suffering a decline in government and commercial projects.

But, overall, construction is up, about 0.3 percent, to a seasonally adjusted annual rate of $622 billion.

Construction was up 1.1 percent in February, led by a 1.9 percent increase in single-family housing construction. Government construction rose 1 percent in February, bolstered by increases in highways and streets, military buildings, offices and water systems.

Nationally, the 2.6 percent decline in February was the biggest drop since August of 1995. Private school and college construction rose, but factory, office, hotel and shopping center spending all declined.

Cape Girardeau Permits

January-February-March

Residential: 17 one-family homes, $2,922,746; four apartment, 19 total units, $1,537,392; 39 permits, remodeling, additions, $344,823. Total residential: 4,805,071.

Commercial: 8 new buildings, $$2,299,000; 17 permits for additions, alterations, $740,124; Other commercial, $136,591. Total commercial: $3,175,715

Total: 121 permits, $7,980,786.