New construction continues to slide

BY BILL O'BRIEN
bobrien@record-eagle.com

January 14, 2008 04:00 am

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TRAVERSE CITY -- Forgive Jody Bergman for feeling a bit like the Maytag repairman, the beleaguered appliance pitchman who's always looking for something to do.

The long-time lead estimator for Comstock Construction Co. in Traverse City is trying to scrounge up work, but it's not easy with the construction slump in Grand Traverse County. Last year's new construction work across the county totaled nearly $152.6 million, the lowest amount in more than seven years.

And the building bust may not have bottomed out yet.

"The scary part is 2008 isn't looking good at all," said Bergman, a 31-year employee of the company who's also a city commissioner in Traverse City. "I just think with the economy the way it is right now, people are afraid to move ahead."

Bergman said her company's business was "pretty static" last year when compared to 2006. But it's down about 50 percent from the record new construction year of 2004, and a company workforce that swelled to 140 employees a few years ago fell back to about 60 workers last year.

"I think we were fortunate last year being able to maintain, but a lot of people are hurting," she said. "People are going further and further to find (construction) work."

Local land developer Gerald Snowden agreed that the volume of new building projects has fallen off across the county over the past two years, but said there's still interest in some areas, provided the land isn't overpriced and there's sufficient public infrastructure.

"I think there's still demand for the right product in the right location," Snowden said. "We still have quite a few companies (that) would like to locate downtown."

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