Home construction dips in 2016 as costs increase (Evans, Grovetown: 2015, apartment)

[Airforceguy]

Looks like local builders may have over estimated just how much demand Army Cyber Command would bring when it comes to single family homes...

Totals for Columbia, Richmond and Aiken counties, when compared to the height of the housing bubble 10 years ago, were down roughly 33 percent. This despite a comparatively healthy 2.1 percent increase – roughly 4,800 jobs – in metro Augusta’s labor market based on preliminary government statistics.
Price pressures are dampening home construction nationwide, but homebuilder Mark Ivey, past president of the Builders Association of Metro Augusta, acknowledged local developers also may have overestimated housing demand for cyber-related workers.
The Pentagon announced in late 2013 it would relocate Army Cyber Command and its affiliated operations from suburban Washington, D.C., to Augusta by 2019, creating 4,700 new military and civilian jobs at Fort Gordon. But with more than half those jobs already filled, supply might be ahead of demand.
For example, in Columbia County – the region’s top new home market – the number of housing permits issued in 2014 and 2015 exceeded the actual number of homes sold.
“So maybe – and this is just speculation – there is just a bit of market correction going on,” said Ivey, president of Evans-based Ivey Homes. “Inventory got a little high, so we may be trying to gobble up some of that.”

Home construction dips in 2016 as costs increase | The Augusta Chronicle

[AUGnative]

They have been building homes in Grovetown and toward Evans like gangbusters in recent years. I think they may have reached a saturation point and a cooling off period is in order. Also, Columbia County needs to catch up with updating the road infrastructure before it can handle anymore large scale residential and commercial development. And why is it so hard to get a simple traffic light at William Few and Chamblin?

[GRU_Minion]

They won't do it because they'd be cutting their own throats, but what if they put like a 6 month stay on new housing construction? Get the current inventory sold down and THEN start building where there is need again. Pipe dream, I know...

[AUGnative]

Plus the current roads cannot handle it.

[PJA]

It also appears that they overestimated the amount of the cyber workforce that was going to buy instead of rent. Seems more of them are renting vs buying than was anticipated. It also seems that apartment can construction is up.

[AUGnative]

Originally Posted by PJA

It also appears that they overestimated the amount of the cyber workforce that was going to buy instead of rent. Seems more of them are renting vs buying than was anticipated. It also seems that apartment can construction is up.

You are correct... A good number of these are contracting jobs and are temporary. Many of those will rent. Dont get me wrong the Cyber Command will be a big boost to the area but I do feel like some local leaders and media slightly overexaggerated its's economic impact. Like I said.. a cooling off period for new home construction is a good thing to allow the road infrastructure to keep up.. and to keep the market stable. Last thing you want are a lot of half empty subdivisions all over.

[PJA]

Originally Posted by AUGnative

You are correct..A good number of these are contracting jobs and are temporary. Many of those will rent. Dont get me wrong the Cyber Command will be a big boost to the area but I do feel like some local leaders and media slightly overexaggerated its's economic impact. Like I said.. a cooling off period for new home construction is a good thing to allow the road infrastructure to keep up.. and to keep the market stable. Last thing you want are a lot of half empty subdivisions all over.

Yes and even some of the permanent employees may want to rent to get familiar with the area before they decide to buy. I know if I was new to an area I would rent at least the first year.

[keatkeat_]

OH MY...you're telling me Augusta's robust, light speed growth is slowing?? But that's not possible. We're the next big thing.... ha.