Total Housing Starts Rise for Fourth Straight Month in August, CBIA Announces

However, single-family sector continues to struggle

SACRAMENTO, CA – September 22, 2010 – (RealEstateRama) — Total housing production in California continued to rise for the fourth month in a row in August even as single-family production posted the lowest monthly total since February 2009, the California Building Industry Association announced today.

According to statistics compiled by the Construction Industry Research Board (CIRB), permits were pulled for 3,598 total housing units in August, up 18 percent from the same month a year ago but down 15 percent from July. Permits for single-family homes totaled 1,811, down 19 percent from August 2009 and down 12 percent from the previous month. It was the lowest monthly total since 1,304 single-family permits were issued in February 2009. Meanwhile, multifamily permits totaled 1,787, up 117 percent from a year ago but down 17 percent from July.

For the first eight months of the year, permits were pulled for 29,384 units, up 21 percent when compared to the same period in 2009 when 24,236 permits were issued. Single-family permits were up 5 percent while multifamily permits rose 56 percent.

Liz Snow, CBIA’s President and CEO, said the continued increase in homebuilding was welcomed news, but cautioned policy makers against enacting new regulations that might deter the industry’s modest recovery.

“This is once again welcomed news for the industry, and for the laborers who have found work as a result of these new projects,” said Snow. “However, with construction levels still hovering around record-lows and with the California Air Resources Board set to adopt greenhouse gas reduction targets tomorrow, we encourage policy makers to proceed with caution in enacting any rules and regulations that might negatively impact the housing industry, and in turn, the state’s fragile economic recovery.”

Snow noted that CIRB is now forecasting a total of 46,500 units will be built in 2010, slightly less than the 47,500 units projected last month.

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The California Building Industry Association is a statewide trade association representing thousands of homebuilders, remodelers, subcontractors, architects, engineers, designers, and other industry professionals. More information is available on the Association’s Web site, www.cbia.org.

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Media Contact:
Michael Castillo
Communications Manager
(916) 443-7933 ext. 346
mcastillo (at) cbia (dot) org