Construction in New York City: Examining what lies ahead for our industry in 2008

New York City, its 3 p.m. on a Friday. As I am gazing out of my office window looking at the Big Apple's skyline, I take a mental picture at how the horizon is dotted by all of the tower cranes. Their images against the skyline are so majestic. I am a construction professional working in this industry for 34 years now. In my years working in the industry my positions and projects have been good to me. It has given an opportunity to travel up and down the east coast and spend time in the Caribbean. And leaving every project with satisfaction, more knowledge then I started with and some gray hairs. But nowhere is construction so different then in New York City. The complexity of the sites, the immenseness of the structures, the constraints and the things you take for granted on other projects become major issues here. It's not bad, in reality it's all good. It makes you sharp and strengthens your professional as well as people skills. So onward of what I see lies ahead for the upcoming year. * The Mega Projects - WTC and Beyond. I think that any firms which are involved in this arena is status quo, depending on their role of engagement and what part their firm plays in the big picture. They really won't feel much of anything I believe economy wise. * High-rise Condo Towers. These projects are generally on the drawing boards a year or two before you actually see the structure proceeding towards the heavens, so here again since there is a lack of housing and real estate is a premium these projects generally are well financed and it's all systems go. Here again these projects are bid out long before you see actual work. Firms may have to reorganize or streamline their organization, because this is one area that developers & CMs buyout the project as they go to get the best street price, unless they have real good working relationships with their subcontractors and are satisfied with their service. * Hospitality. I believe this market will continue to grow here in New York City. This is a destination city by people from all over the world. If the new construction slows down a bit, there definitely will be remodel work to keep the existing venues up to the franchise standards. * Retail. This is the retail capital of the world. I see no slow down. The retail markets always have capital program plans. Generally the retail chains are always in the re-branding mode, keeping everything fresh to attract business. * Public Works. These project may be pared down in scope or put on hold for a period of time, that in most instances the particular using agency has already made their case to the "powers be" so the need of project has been met. The bidding climate may be a bit more competitive. At the end of the day, I believe that it will be business as usual in the Big Apple. Firms will have to re-think their business strategy, keep their competitive edge but will also have to strive to deliver projects to meet or exceed the client's expectations. The mega project will continue to drain construction resources, i.e. manpower, materials, etc. I believe we are in a new era of competitors becoming teaming partners because of the amount of work strain on the limited resources. Regardless union vs. non-union. The resources just are not at abundance anymore. No matter how hard firms try breaking into the New York market it's generally a one and done type of effort, if you have never had a presence in the New York construction market it's very difficult at best to make it here so outside competition is negligible at best. Carmen Rainieri, AIC, CPC is the director of construction management services at FAI Construction Consultants, New York, N.Y.