Happy Holidays! As we near the end of 2011, we would like to take the time to thank all of you for your business and the opportunity to work with you and your customers.
We are often asked for our thoughts on what the future holds within our industry. It’s important to remember that our industry is most impacted by local events and not national issues. In real estate, appreciation in the California market does not indicate the same will be true for Detroit. It’s the same for construction – just because Florida is soft doesn’t mean Milwaukee is. As for Wisconsin in 2012, we see pockets of growth. We expect new shipbuilding contracts to impact Marinette for the better. However, this is expected to have little or no impact in La Crosse. Fundamentally, good news does seem to be slowly returning to our markets. Continue reading and you’ll learn multifamily continues to show improvement and builder confidence is climbing.
Looking Ahead to 2012
At Wisconsin Building Supply, we are working on several significant initiatives to improve our ability to support you and your business. We will be introducing new products and vendors in 2012, as well as improving and expanding our website and technical resources. We will also commit to providing faster, more accurate estimates. These initiatives are designed to improve our ability to serve you, as you serve your customers.
Multi-Family Production Continues
As we’ve seen in Wisconsin, multi-family housing is a bright spot in the broader U.S. housing market. New households tend to become renters, and the National Association of Home Builders (NAHB) believes this trend is likely to continue until consumers’ confidence returns. In the third quarter of 2011, NAHB’s Multifamily Production Index (MPI) improved for the fifth consecutive quarter. The MPI measures construction in low-rent apartments, market-rate rental apartments and “for-sale” units, or condominiums.Single-Family Housing Shows Improvement
The cost of lumber materials for a typical two-story house is up 1.80% from last month. Nationwide, there have been some more signs of improvement. For example, builder confidence tracked by the NAHB/Wells Fargo Housing Market Index climbed six points over the past two months to a reading of 20 in November. A reading of 50 indicates a balanced market. New single-family home sales have been up for two consecutive months, and single-family starts rose by a solid 3.9% in October after declines for three months in a row.
U.S. Lumber Exports Surge
The volume of softwood lumber available to the U.S. market was up 4.1% through three quarters of 2011, thanks to domestic gains in output that offset declines in imports. Random Lengths reports that nearly 26 billion board feet (bbf) of lumber was available to the market – the highest for the nine-month period since 2008. U.S. lumber production totaled 20.339 bbf through the period, a gain of 8.8%. Total U.S. imports, at 6.759 bbf, represented a 5.1% decline, while U.S. exports surged 29.3%, to 1.148 bbf.
Featured Product and Promotion: Dura SupremeMinnesota-based Dura Supreme cabinetry has established a tradition of craftsmanship and service that is supported by a lifetime warranty. Of Dura Supreme’s three cabinetry product lines, our WBS kitchen designers use Crestwood most often. That’s because they can create their own designs with cost-effective construction and consistent quality. Our WBS design centers are offering special prices on your Dura Supreme orders, including NO UPCHARGE on premium woods and NO CUT-DOWN CHARGES. You can get these savings through January 15, 2012.
Get Some Attention in 2012!
How about a win-win New Year’s resolution? Show off your projects, business news and community involvement through Wisconsin Building Supply. We’re eager to share customer updates and photos on the web. Click here to contact WBS, or check us out on Facebook, Twitter and YouTube.
As your local provider of building materials we look forward to working with you to create a prosperous 2012 for all of us. Thank you again for your business.
