Forecasting construction activity in 2021 is going to be challenging

 

Engineering News Record

November 18, 2020

“2021 Construction Forecast: A Slow Road to Recovery

As the country continues to deal with the economic and health crises caused by the COVID-19 pandemic, forecasters are cautiously optimistic for the future but warn that meaningful growth is still several months away.”

https://www.enr.com/articles/50766-construction-forecast-a-slow-road-to-recovery

 

 

Associated General Contractors

 

November 15, 2020

U.S. Construction Starts to Increase 4 Percent in 2021, Dodge Data & Analytics Predicts

“Total U.S. construction starts will increase 4 percent in 2021, following an estimated 14 percent decrease in 2020, Dodge Data & Analytics predicted in its 2021 construction outlook, released last week.”

https://www.rermag.com/news-analysis/contractor-news/article/21147829/us-construction-starts-to-increase-4-percent-in-2021-dodge-data-analytics-predicts

 

 

Construction Dive

 

Jan. 4, 2021

 

2021 outlook: 6 trends that will influence construction this year

“Several factors – some positive, some less so – are poised to shape the industry this year.”

https://www.constructiondive.com/news/2021-outlook-6-trends-that-will-influence-construction-this-year/592684/

 

 

forconstructionpros.com

January 26, 2021

 

2021 State of Construction Industry: A Forecast for Uncertain Times

“2021 will be an unpredictable year for the construction industry with some segments outperforming others.”

https://www.forconstructionpros.com/latest-news/article/21220814/2021-state-of-construction-industry-a-forecast-for-uncertain-times

The AIA ABI INDEX for January 2021 was 44.9

“While some projects have been delayed due to the pandemic, few have been cancelled outright”

“After experiencing more disappointing business conditions in December, fewer architecture firms reported declining firm billings in January. Despite an ABI score of 44.9, indicating that the majority of firms reported a decline in billings for the eleventh consecutive month,there are increasing signs of optimism. Inquiries into new work at firms reached its highest level since the pandemic began, while the value of new design contracts also approached growth once again, following two months of weaker conditions. With vaccinations picking up speed, and plans for additional relief measures making their way through Congress, there may be more reasons for hope ahead.

However, business conditions remain largely soft at firms throughout the country. Firms located in the South are closest to returning to billings growth, while firms located in the Midwest and West have seen conditions weaken further every month for the last several months. Business conditions have also noticeably softened at firms with a multifamily residential specialization recently, which were the first to return to growth in late last summer. Billings at firms with a residential specialization have now declined for three consecutive months as demand for multifamily housing has waned, even as demand for single-family residential, not measured by the ABI, has strengthened. Meanwhile, business conditions have remained at an essentially steady pace of decline at firms with commercial/industrial and institutional specializations for the last several months.”

TO READ THE COMPLETE REPORT, USE THIS LINK:

https://www.aia.org/pages/6376290-abi-january-2021-architecture-firms-report

Significant Mall Owner reportedly preparing to file Chapter 11

U.S. shopping mall owner Washington Prime Group is preparing to potentially file for Chapter 11 bankruptcy protection, with time running thin before the company defaults after it skipped an interest payment on its debt, Bloomberg reported Thursday.

Last month, Washington Prime missed a $23 million interest payment and said it would be entering a 30-day grace period to continue negotiations with lenders.

But those talks have since been faltering, Bloomberg reported, citing conversations with people familiar with the matter. Still, the plan to pursue bankruptcy could change, Bloomberg said, if Washington Prime is able to make progress with its lenders or if its grace period is extended.

A spokesperson for the company declined to comment on the report.

The real estate investment trust, based in Columbus, Ohio, was formed in May 2014 following a spinoff from the biggest U.S. mall owner, Simon Property Group. It went on to grow its portfolio of shopping malls when it acquired Glimcher Realty Trust, in January 2015.

Washington Prime currently operates about 100 malls across the country, a number of which are considered B- and C-rated, meaning they bring in fewer sales per square foot than an A-rated asset. Those properties have been under even more pressure during the Covid pandemic, with fewer people venturing out of the house to shop. When they do, they’re likely opting for open-air shopping centers over enclosed malls.

And with a number of retail, restaurant and entertainment tenants requesting rent relief or shuttering more locations, mall owners have struggled to meet their own obligations. That stress has already pushed some over the edge and into bankruptcy.

Last November, two other mall owners, CBL and Pennsylvania Real Estate Investment Trust, filed for Chapter 11 bankruptcy protection. The latter has since emerged.

Washington Prime shares tumbled more than 45% midday Thursday. The stock is down more than 80% from a year ago. Washington Prime has a market cap of about $71 million.

Consider Image Access Wide-Tek Scanners for your HP PageWide XL printers

HI Ed,

 

Although I was unable to “attend” the virtual trade show (which, by the way. I thought was a wonderful idea), I am watching the rerun now.

 

I have a question for David Gerbholz of Image Access, and I’m hoping that you can pass this question along to David, as I would like to know the answer to this question.  

 

Here’s the issue….

 

If I’m considering the purchase of an HP PageWide XL system……

 

a) the lower volume models, such as the PageWide XL 4600, come with a built-in wide-format scanner.

 

b) but the higher volume models, such as the PageWide XL 8000, do not come with a wide-format scanner.

 

So, if I’m going to get an HP PageWide XL 8000, the question is, if I need to also acquire a wide-format scanner so that I can do scan-to-print work, should I acquire an HP wide-format scanner or should I acquire an Image Access Wide-Tek?

 

Also, the related question is, why should I acquire an Image Access Wide-Tek scanner to drive my HP PageWide XL printer instead of acquiring an HP wide-format scanner to drive my HP PageWide XL printer? (Advantages, benefits, etc?)

 

Thanks and regards,

 

Joel

 

David Gerbholz of Image Accessresponds….

 

“Hello Joel,

 

Thank you for the inquiry and hopefully the demo had some good information for you! 

 

We do have a lot of our production shops utilizing our WideTEK CCD scanners with the HP Pagewide lines for high volume production. The HP scanners are actually Contex OEM scanners. Our CCD scanners are designed for longevity and high quality reproduction. The scanning glass in the CCD scanners is actually recessed and therefore prolongs the life of the scanning glass. Also, we utilize an HP print driver that creates a direct Scan2Copy function with the PageWide. All of our scanners have the software on the scanner itself, so there is no need for a PC to operate, unlike the HP scanner.

 

Overall, we can provide a personal demo for you to go over this in more details, if you would like. Just let me know and I will be happy to schedule that for you.

 

Stay safe and healthy!

 

Best regards,

 

David Gerbholz”

Sales Manager North America
Image Access LP
2511 Technology Dr. Suite 109
Elgin, IL 60124 USA
Mobile: +1 (303) 886-0319

 

www.imageaccess.us

Epson Announces Availability of New SureColor T-Series Wide-Format Multifunction Printers for CAD, Technical and Graphics Applications

BLOG PUBLISHER'S COMMENT:  TAKE A LOOK AT THE PRICE FOR THE 36" MULTIFUNCTION SYSTEM - - - THE MSRP IS LESS THAN $5,000, AND THAT PRICE INCLUDES A SCANNER!

Tuesday, March 02, 2021

Press release from the issuing company

Compact, Affordable Epson SureColor T3170M is Now Available and SureColor T5170M to be Available in May for Scanning Blueprints, Drawings, Making Large Copies and Sharing Technical Documents

Los Alamitos, Calif. – Epson today announced availability for its new 24-inch SureColor® T3170Mand 36-inch SureColor T5170Mmultifunctionprinters. Featuring a sleek design and compact footprint, the new printers are designed to enhance workflow and support seamless collaboration ideal for today’s remote working environment. The models tout an integrated high-detail scanner with simple top-loading functionality for easy copy and scanning of blueprints, technical documents, renderings, and graphics. Built for professionals in the construction, architecture, engineering, and CAD printer markets, the new SureColor T3170M is available now and the SureColor T5170M will be available in May online, through channel affiliates, and authorized Epson Professional Imaging resellers.

Noreas Inc., a scientific, technical, engineering, and construction management support company has been using the SureColor T3170M to print and digitize their wide-format drawings. “We have been using the SureColor T3170M to help print technical plans for projects and scan large documents. We have really been putting the SureColor T3170M to the test – it fits right on our desks and it’s a reliable, robust printer that has greatly helped our business workflow,” said Michael Price, project environmental engineer, Noreas, Inc. “The integrated scanner and copier have simplified our process for sharing documents with clients and colleagues. The printing and scanning quality are excellent.”

The SureColor T3170M and SureColor T5170M come equipped with an industrial-grade Epson PrecisionCore® MicroTFP® printhead for ultra-fast print speeds, producing accurate A1/D-size prints in as fast as 34 seconds and 31 seconds, respectfully. The integrated 600 dpi scanner and copier support enlargements and reductions, as well as enhances tracing and offers highlight detection for scanning annotated blueprints.

The SureColor T3170M and T5170M support easy document sharing through scanning directly to USB drives, network folders, or scan to e-mail, ideal for sending documents to team members, including remote and on-site departments, vendors and clients.Both printers include integrated wireless and Wi-Fi Direct® connectivity to seamlessly print from virtually anywhere in the home or office with a smart device or from a USB thumb drive. Touting enterprise security features and protocol support, employers and employees can feel secure creating and sending CAD, GIS, architectural, and engineering drawings.

“A lot has changed in our work environments in the last year, and these models are ideal for businesses looking for a multifunction device that will conveniently fit into modern work from home and small office environments,” said Jacob Hardin, product manager, Professional Imaging, Epson America, Inc. “From the small footprint to the advanced features and multifunction capabilities, the new SureColor T3170M and T5170M were designed to help industry professionals increase productivity and create stunning CAD, GIS, architectural, or engineering technical drawings.”

Support and Availability
The Epson SureColor T3170M ($2,545 MSRP) is now available and the SureColor T5170M ($4,995 MSRP)will be available in May through authorized Epson Professional Imaging resellers and channel affiliates. There are several Epson PreferredSM Plus service coverage plans available that includes toll-free advanced telephone access Monday through Friday and usually next business-day on-site service. For additional information, visit www.epson.com/tseries. 

At least one segment of the Printing & Graphics Industry is growing and expected to continue to grow – Printed Packaging - HP C 500 - Company Box

 At least one segment of the Printing & Graphics Industry is growing and expected to continue to grow – Printed Packaging

Because of the Covid-19 pandemic, we are doing a lot more “on-line” shopping than ever before.  Rarely does a day go by that a box or package doesn’t show up outside our front door. Years ago, most boxes and packages were unprinted.  That is definitely not the case today.

I am a follower of WhatTheyThink.com and enjoy reading the articles and watching the videos WTT publishes.  Although I don’t always agree with the “economic” opinions WTT authors have, I do, very much, enjoy the information they share about different segments of the Printing & Graphics Industry – new products, new equipment and technology, innovations, who’s doing what.

And, with that thought in mind, today, I watched a video/interview on WTT, one that I found so interesting that I thought I’d share it on Reprographics 101……

CompanyBox’s Louis DeJesus Talks about On-Demand Packaging

David Zwang talks to Louis DeJesus, CEO and Founder of CompanyBox, which specializes in digital, on-demand packaging. The company leverages digital platforms, automation, and order aggregation so that the cost of one package is "the same as the cost of a truckload.”

Published on February 23, 2021, Link to video:

https://whattheythink.com/video/104617-companyboxs-louis-dejesus-talks-about-demand-packaging/?utm_source=newsletter1&utm_medium=email&utm_campaign=daily

 

Going further, here’s some information about “Company Box”…..

 

A Fresh Approach to Packaging

 

OUR FACILITY

See How We Build Your Box & Your Brand

All of our work is done in-house to ensure that you get your order as fast as possible. In fact, all orders are guaranteed to ship within 8 business days of receiving payment and artwork approval. Plus, our on-site printing makes it even easier for us to perform quality control audits, ensuring that you receive a box with the sharpest, most vivid graphics possible.

 

The BoxMaker Invests in Second HP PageWide C500 to Expand Corrugated Services in US

Friday, October 30, 2020

Press release from the issuing company

New press to be installed in Arkansas to extend nationwide reach

Seattle, Wash. – The BoxMaker, a US leader in digitally produced packaging, announced it has purchased a second HP PageWide C500 Press to add capacity for its growing corrugated business, as the converter launches a nationwide expansion. 

The multi-million-dollar investment makes The BoxMaker the first converter in the world to operate two HP C500 presses for flexible, on-demand direct-to-board production of corrugated boxes with offset quality print using true water-based inks.

"The HP C500 has proven valuable to both our business and our brands, playing a key role in doubling our business volume for digitally produced packaging and display. Digital print technology enables our client brands greater flexibility for quick turnaround times, high-impact designs for multiple SKUs, and the ability to engage consumers with marketing promotions directly integrated into their packaging,” said Richard Brown, President and Co-Owner of The BoxMaker. “The HP C500 is proven technology that will serve as the print platform to drive our growth strategy as we continue on our journey with HP to transform the market to digital.” 

The new press will be installed near Springdale, Arkansas where The BoxMaker is acquiring Tango Press, an all-digital production plant for corrugated packaging and displays.

Link to the full press release:

https://whattheythink.com/news/103131-boxmaker-invests-second-hp-pagewide-c500-expand-corrugated-services-us/

 

Link to the company’s web-site:

https://www.companybox.com

 

INFORMATION ABOUT THE HP C 500:

 

HP PageWide C500 Press

 

Digital post-print simplicity with offset print quality

Benefit from consistent offset print quality for a wide range of corrugated applications on both coated and uncoated paper, along with post-print process simplicity and the versatility advantages of food-safe¹ true water-based inks. Produce jobs digitally in runs of anything from one to thousands, while focusing your analog presses on very long runs.

 

Videos of installations;  one of these videos takes a look inside Company Box’s facility:

https://www.youtube.com/watch?v=oStETO-vbqY

 

https://www.youtube.com/watch?v=Bbd8Jh6ed_I

 

https://www.youtube.com/watch?v=f3iD7Yt34FI

HP C 500 Data Sheet:

https://www8.hp.com/h20195/v2/GetPDF.aspx/4AA7-0925ENW.pdf

AIA ABI Index for December 2020 came in at 42.6. Ending the year on a sour note.

The AIA’s ABI Index for December was below 50, again, as has been the case since March 2020.  Ten months under 50 in a row.

Business conditions at architecture firms backslid in December, ending a tough year on a disappointing note. The AIA’s Architecture Billings Index (ABI) score declined to 42.6 for the month, indicating that more firms saw declining billings in December than in November. Although some year-end softness is to be expected at many firms, the ABI analysis takes these seasonal factors into account, so it is unlikely the decline is due to just the typical December slowdown. Instead, ongoing uncertainty with an increase in COVID-19 cases and delays on the new stimulus package until late in the month are more likely contributors to the decline.

However, firms do remain relatively optimistic about 2021, and the indicators of future work tend to support that. Inquiries into new projects at firms increased for the fifth month in a row in December, and while the pace of growth was slower than in September and October, it still means that most firms are having project discussions with potential clients.And while the value of new design contracts decreased for the second consecutive month after rising in October, it remained near the 50 threshold, indicating that a nearly equivalent share of firms saw an increase in new contracts signed as saw a decrease. In addition, firm backlogs remained generally steady from the third quarter to the fourth quarter of 2020, declining slightly from an average of 5.4 to 5.3 months. This remains about a month below pre-pandemic backlog levels for the last two years, but has improved from the first quarter, where they fell all the way to 5.0 months from 6.3 months in the fourth quarter of 2019.

The full report issued in January 2021 for December 2020 can be found at this link:

 

https://www.aia.org/pages/6366635-abi-december-2020-architecture-firm-billin

ARC Document Solutions reported Q4 2020 and Full Year 2020 Results

Yesterday, ARC Document Solutions, the largest “reprographics” company in the U.S. (if not the world) reported its Q4 2020 and Full Year 2020 results.

 

On full year basis, ARC’s Sales dropped $93.0 million (24.32%) from year 2019 to year 2020, but, in spite of that huge drop, ARC’s “Earnings Attributable to ARC” dropped only $500,000.  That, to me, is remarkable performance.

	SALES
					2020 to 2019	2020 to 2019
	Period	2018	2019	2020	$ change	% change
	Q1	$     97.71	$      97.10	$      88.40	$    (8.70)	-8.96%
	Q2	$  104.19	$      98.90	$      64.30	$  (34.60)	-34.98%
	1st H	$  201.90	$    196.00	$    152.70	$  (43.30)	-22.09%
	Q3	$  100.47	$      94.10	$      72.40	$  (21.70)	-23.06%
	9 Mo	$  302.37	$    290.10	$    225.10	$  (65.00)	-28.88%
	Q4	$     98.40	$      92.30	$      64.30	$  (28.00)	-30.34%
	Year	$  400.77	$    382.40	$    289.40	$  (93.00)	-24.32%
	ADJUSTED NET INCOME ATTRIBUTABLE TO ARC
		2018	2019	2020
	Year	$       8.50	$         6.80	$         6.30

I’ve been involved in the “Reprographics” Industry for over 50 years by now.  Year 2020 was one of the weirdest years, EVER, due to the impact of the Covid-19 virus. You would be hard pressed to find any reprographics company – anywhere in the U.S. or the world – that did not experience an incredibly difficult and challenging year.  

 

For most reprographers, and, apparently, ARC was no different, the year broke down like this:

 

·      Q1 2020 – off slightly

·      Q2 2020 – deeply off

·      Q3 2020 – somewhat of a minor rebound

·      Q4 2020 – deeply off again

 

The “typical” reprographics company operates several different business segments, among them:

 

·      A/E/C reprographics services

·      On-Site (FM/MPS) Services

·      Wide-Format Color services

·      Some also offer Equipment, Equipment Service and Supplies

 

In Year 2020, the impact on these separate business segments looked like this:

 

·      A/E/C reprographics services was significantly down for the year, as some projects were delayed or put off and as architects and engineers worked from home rather than having everyone come in to the office.  Last time I looked (which was recently), the AIA ABI Billing Index has been south of 50 for nine consecutive months.

 

·      On-Site (FM/MPS) services were very hard hit because the customers who use this service are typically architects, engineers and construction companies, and because most of the revenue is generated from customer team members printing to imaging devices located at the A/E/C firms office.  Since architects and engineers were working for home a lot of 2020, the volume of OSS/MPS/FM revenue was well off in 2020.

 

·      Wide-Format Color services, well, the results of this segment were good for some and awful for others.  Retailers, restauranteurs, entertainment venues, etc. cut back spending on display (advertising and promotional) graphics, but virtually all businesses and government agencies and schools had to spend on signage/graphics related to Covid-19.

 

·      Those companies who are in the business of selling/leasing/renting and servicing wide-format equipment and media and supplies, well, they too, suffered a down year for that business, similar to the reasons given for A/E/C reprographics services and On-Site services.