Associated Builders and Contractors Chief Economist Anirban Basu also sees a steep decline in activity for U.S. commercial builders. He told Construction Dive he believes it will occur in three phases.
Phase one includes the current impact of social distancing directives and other CDC recommendations on construction activity, as well as shutdown orders in Boston, Pennsylvania and California.
Phase two will be the result of the downturn of the U.S. economy, which will bring the deepest recession since the Great Depression, he said.
“Construction activity tends to lag the broader economy by 12 to 18 months, so that weakness will eventually catch up with the construction sector,” he said.