In the third quarter of the year construction designed for private use registered a interannual reduction of 11%, mainly explained by a 26% drop in non-residential buildings.
Report "Construction with private destination up to III quarter of 2016," by the Central Bank of Costa Rica:
Inter annual growth Comparing the third quarter of 2016 with the same period in 2015, buildings with private destination, measured by the physical progress of construction projects, showed a 11.1% annual fall.The fall is explained by the non - residential buildings sector, which decreased at a rate of 26.2%, while residential buildings grew at an annual rate of 3.2%
Moody's has downgraded the Brazilian construction company and does not foresee its financial profile significantly recovering over the next 12 months.
The construction company is currently running three major projects in Panama: the urban renovation of Colon, with a value of $537 million, the construction of Metro Line 2, for $1.8 billion, and the expansion of Tocumen International Airport.
The Costa Rican companies MECO and Productos de Concreto have formed an alliance with the Nicaraguan Lacayo Fiallos to create the construction company Concrenic, which has already started operations in Nicaragua.
With a joint investment of $5 million, the company Concrenic has announced the start of operations in Nicaragua, where it will specialize in the construction of pipes, pavers, blocks, poles and tiles, among other products.
A proposal has been made for the extension of the route to Ciudad Pedro de Alvarado, valued at $280 million and abandoned by the original contractor, to be divided into sections and assigned to local construction companies.
The construction company Sigma, whose legal representative is involved in the State Cooption case has desisted from continuing the work of expanding to four lanes the route to Ciudad Pedro de Alvarado, for which it had been allocated $280 million from a CABEI loan.
In Honduras companies are being called on to prequalify for a road infrastructure project in the city of La Lima, Cortés department.
"National Public Competition:
Prequalification for the competition for the Award of a Public Private Partnership Contract for the Design, Financing, Construction, Maintenance and Transparency of works for the Public Road Infrastructure Project: 'La Lima, my city is under development' for 16 years, the construction of 13 streets in the city of La Lima, Department of Cortés. "
Between $26.4 million and $27.8 million is the range of five proposals submitted by five consortiums for the urban renewal project Calle Uruguay, Bella Vista.
Taking part in the tender were Ortiz Construcciones y Proyectos, S.A. with a proposal of $27.8 million.The Companies Constructora Meco, S.A.; MCM Global consortium, made up Munilla Construction Management LLC / MCM Global, S.A., Conalvías Construcciones, and Asociación Accidental C&C Construye.The four companies submitted economic bids of $26.4 million.
In Costa Rica the index of activity in the construction sector has had 4 consecutive months of downturn, and now faces the threat of new financial rules which will make access to credit more costly.
The construction sector's main concern is the impact that interest rates will have on the new standards which financial institutions will need to comply with.They are predicting an increase in credit costs primarily because of the new rules already in force and which determine that for institutions that lend money"... The minimum percentage level of the countercyclical estimate required is 0.33%. Each entity must register on a monthly basis expenditure equivalent to a minimum of 7% of its profits, until it reaches an optimum level defined by the Sugef. "
The value of construction projects, additions and repairs reported between January and May 2016 fell by 9% compared to the same period in 2015.
The district of San Miguelito was the area that recorded the greatest reduction in the value of construction in the first five months of the year, falling by 80% compared to the same period in 2015.At the other extreme is Colon, where there was an increase of 143%, followed by David, Santiago, Chitre, Aguadulce and La Chorrera.
From July 7 to 10 suppliers, contractors and consultants will exhibiting their products in Managua while exploring business opportunities.
It is anticipated that over 100 companies will be taking part, including construction companies, suppliers of construction machinery and other materials and services.
The event, organized by the Chamber of Construction of Nicaragua, will be held at the Convention Center Olof Palme.
At the end of the fourth quarter of 2015 the inventory of apartment buildings and individual houses recorded an increase of 10% compared to the same period in 2014.
From a report compiled by the General Comptroller of the Republic:
The Census on Construction of buildings undertaken in the districts of Panama and San Miguelito, in the fourth quarter of 2015, investigated 1,421 new works which started the construction process, while in the same period last year 1,285, were recorded representing an increase of 10.6 percent. In regards to the amount of area under construction, this measured 149.160 square meters, of which 92.6 percent is concentrated in the district of Panama resulting in the construction of 1,369 buildings, the remaining amount is in the district of San Miguelito.
A trade show for the construction industry will be held from From June 1 to 4 in Tegucigalpa, featuring conferences and products exhibitions by companies in the sector.
The event Expoconstruye 2016 will be held at the Plaza Juan Carlos, in the Honduran capital, and will include the participation of construction and real estate companies, banks and other bodies linked to the sector.
In the first two months of the year the total amount of loans granted to build houses fell by 85% compared to the same period in 2015.
Data from the Salvadoran Chamber of Construction (Casalco) indicates that out of the total credit extended by the banking system to productive sectors in the country, only 1% was for construction loans.
As for loans granted for housing, in January and February Casalco reported that only $1.2 million was awarded to construction companies, well below the $8 million recorded in the same period in 2015.
The total square meters of construction registered during the first three months of the year was up 15% compared to the same period in 2015, driven by residential construction.
From a statement issued by the Association of Engineers and Architects of Costa Rica (CFIA):
The CFIA notes that if this trend continues, the year could close with more than 10 million square meters having been processed.
In 2015 the total built area fell 11% compared to 2014, mainly due to a 9% reduction in residential construction, which accounted for 57% of the total.
An 11% drop in construction designed for residential use, was added to the 26% reduction of the construction of commercial spaces and a decline of 10% in the construction of industrial facilities.
Data from the National Survey on Private Construction by the Central Bank of Honduras said that "...
Within the the framework of the International Meeting on Construction and Equipment to be held from July 19 to 22, meetings will be held to explore business opportunities between companies.
The International Meeting on Construction Machinery is being organized by the Chamber of Construction in Costa Rica and will bring together companies linked to the construction sector, from earthwork to industrial finishes.