MARKET IN A MINUTE
August 24, 2021
Market insights you can use, delivered in a single bite.
New Home Sector
Like the existing home market, the Chicago region’s new home market is hotter than it has been in years. A good measure of market activity in this sector is the number of single family building permits issued. From January through June of 2021, homebuilders across the region were issued 4,954 permits for single family homes (a form that includes detached homes as well as “single address” attached units such as townhomes). This is a 52 percent increase over the same period in 2020 and a 39 percent increase over the same period in pre-pandemic 2019. The region is now on pace to issue nearly 10,800 permits for 2021. If this happens, it will be the largest number of permits issued since 2007 – before the housing market implosion.
What’s driving this?
The surge in demand for new homes is being driven primarily by record low inventories of existing homes regionwide. But several additional factors come into play, including the following:
- Demographic shifts – specifically, the aging of the Millennials and Baby Boomers, which give rise to changing housing needs for many individuals and families.
- Rising home values, which have allowed many homeowners who were previously “under water” to sell and make a move to a new home.
- Historically low mortgage interest rates.
- Pandemic de-tethering of home location from work location, giving many more freedom to move around the region.
Will the trend continue?
As long as current underlying market conditions prevail, this trend will likely continue. However, as home prices continue to rise, some softening can be expected. On the other hand, rising home prices may also mean that more under water homeowners are able to finally sell their existing homes and purchase something new. Moreover, homebuilding activity in the Chicago region as a whole has remained at a historically slow pace since the 2008 market meltdown. The sector here has not recovered at the rate it has in many hotter markets around the country, and it is likely that we are now in a period of catching up that could take some time to fully play out before the next downcycle hits.
TCDF LAUNCHES ‘CORROSION ILLINOIS NETWORK’
August 19, 2021
A new resource for community infrastructure stakeholders
The TCDF is proud to announce the creation of the Corrosion Illinois Network and the launch of the Corrosion Illinois website.
The Network is part of the ongoing work of the TCDF to promote the protection and expansion of community infrastructure assets to drive economic development and safeguard public health.
Representing a primary resource for infrastructure stakeholders in Illinois, the Network will focus on educational programs, technical assistance, and training opportunities in corrosion prevention and mitigation. Corrosion is a major cause of structural failures that shorten infrastructure asset life, incur unnecessary costs, limit systems’ capacity to accommodate community growth, and threaten public health and safety.
The Network will partner with corrosion authorities such as the Association for Materials Protection and Performance (AMPP – formerly NACE and SSPC) and regional experts to offer online and in-person educational programs for engineers, architects, specification writers, facility owners and operators, and municipal officials in combating corrosion and maintaining strong, sustainable infrastructure.
Continuing education credits required by many government entities and professional organizations will be offered in conjunction with many programs.
In addition, the Network and its website will function as a clearinghouse for information on corrosion industry advancements, public policy, current issues, and best practices.
“We have a major challenge in front of us as a state and as individual communities to shore up our aging infrastructure,” said Todd Dotson, TCDF Executive Director. “The Corrosion Illinois Network aims to be a partner in meeting that challenge. The educational opportunities and other information we will make available through the Network will be applicable to all jurisdictions and systems across the state. A key part of the TCDF’s mission is helping to build strong communities, and the Corrosion Illinois Network takes a giant step forward toward fulfilling that mission.”
The Network presented its first program this spring – an overview of the Illinois Environmental Protection Agency’s new regulations that aim to strengthen community water supplies by establishing new standards for corrosion prevention and mitigation work. The program recording is available here.
To join the Corrosion Illinois Network for free, simply click here. More information on upcoming webinars and other program offerings will be announced soon to all members.
On March 18, the TCDF presented a forward-looking webinar with a panel of industry experts and insiders to investigate trends in Illinois infrastructure funding, the outlook for Rebuild Illinois funding and spending, and the outlook for federal infrastructure spending under the Biden administration. Watch the video here and find out what savvy communities, construction firms, and contractors need to know to make the most of emerging opportunities.
On February 18, the TCDF presented an informative webinar on new rules recently adopted by the Illinois Environmental Protection Agency designed to help protect and strengthen community water supplies and safeguard public and environmental health throughout the state. The new rules stipulate that corrosion prevention and mitigation work must be carried out in accordance with defined standards based on industry best practices. Watch the video here to learn more about what is included in the new rules and what they will they mean for communities and firms that do corrosion-related work.
While many construction projects have stalled during the pandemic, infrastructure is one sector that could help lead state and local economies to recovery while securing communities and positioning them for growth. With the State of Illinois poised to spend $45 billion in the coming years as it rolls out its Rebuild Illinois capital spending plan, and passage of a federal infrastructure spending bill possibly closer than ever, planning for a brighter, more prosperous future begins today.
What will political changes and post-pandemic needs mean for the future of state and federal infrastructure spending and construction? Find out what savvy communities, construction firms, and contractors need to know to make the most of emerging opportunities.
Join our forward-looking webinar to learn from industry experts and insiders about trends in Illinois infrastructure funding, the outlook for Rebuild Illinois funding and spending, and the outlook for federal infrastructure spending under the Biden administration.
The program will also feature a discussion on the current tax landscape in the real estate space, including an update on Biden administration tax proposals and discussion on strategies for navigating the current real estate environment. Also included will be Chicago and Illinois tax highlights focusing on current issues in local markets.
Speakers:
Tom Budescu
Senior Vice President, Ernst & Young Infrastructure Advisors
Cydni Griswold, CPA
Senior Manager, Ernst & Young Global Compliance & Reporting – Real Estate
Aaron Toppston
Managing Director, The Walsh Group
Who should attend?
• Contractors
• Construction Managers & Executives
• Municipal Leaders & Officials
• Planners
• Development Directors
• Community Stakeholders
Date: Thursday, March 18, 2021
Time: 1:15 Login; 1:30 pm – 3:00 pm CDT Program
Location: Zoom Webinar
Register at
https://zoom.us/webinar/register/WN_jywrccsJRImBiJjxVn_ZRw
This event is free, but registration is required. Space is limited.
Please feel free to share these event details with others.