www.bellinghamherald.com/business/story/535288.html -
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Published on: 10/7/2008
Last Visited: 9/8/2008
Bill Quehrn of the Building Industry Association of Whatcom County said local companies have been making adjustments, including some layoffs, but have been able to avoid more drastic measures such as closing.Membership in the local Building Industry Association has been rising this summer, he said.
"This is a correction we knew would be coming, but it's been made worse by the credit problems that have been happening in other parts of the country and we're feeling the ripple effect," Quehrn said."The professional, well-established companies have been able to weather this OK by moving into other projects."
One area that is seeing some growth is home remodeling work, he said, particularly projects where people are adjusting to changing family situations, such as family members moving in or making changes to homes for elderly residents.In Bellingham, 185 permits were issued for residential alterations through July, up 18 percent compared to the same period last year.
"Remodeling homes has been a strong, growing market in recent years," Quehrn said.
Overall, though, construction has been slower and it will be felt at the local government level at budget time.Valuations for all building permits through August in unincorporated areas of Whatcom County are $106.5 million, down from $120.2 million for the same period in 2007.In Bellingham, total valuation of the permits through July is $91.8 million, down from $150.8 million through the same period last year.
"Construction generates revenue for the government through taxes, so this area will feel the impact of the slower summer," Quehrn said.