We're reading the headlines so you don't have to.

From OSHA civil penalty increases, economic signals to watch for in 2024, to new projects in development and/or under construction, here's what was buzzing in the building world from the week of January 15-19, 2024:

CIRCLING BACK
Industrial development planned for Rogers
Three new industrial warehouses may be coming to Rogers, as West Development has plans to build a new development, according to public documents. As detailed in an environmental assessment worksheet, the location of the development would be near the intersection of 147th Avenue and State Highway 101 in Rogers. The plat of land does not have an assigned address and is valued at %5.45-million, according to Hennepin County tax information. The land sits in the northwest submarket of the Twin Cities metro and would back up to the Crow River. It is owned by the Edina-based Schmidt Crow LLC.  (12-27-2023  |  Finance & Commerce)
 

JANUARY 12, 2024
Kowalski's buys site of future store near Ridgedale
Kowalski's had paid $4.9-million in cash for a former Sears auto repair property in Minnetonka, the site of its future grocery store near Ridgedale Mall and the new Dick's House of Sports. The grocer purchased the property from Ridgedale TRS Sub LLC, an entity related to Ridgedale Mall owner Brookfield Properties Retail of Chicago, according to a certificate of real estate value made public. Located at the 12439 Wayzata Boulevard, the property has an estimated value of $8-million for tax purposes, according to Hennepin County records. (1-12-2024  |  Finance & Commerce)
 

Not all carbon-capture projects are created equal
Capturing carbon dioxide from the air or industries and recycling it can sound like a win-win climate solution. The greenhouse gas stays out of the atmosphere where it can warm the planet, and it avoids the use of more fossil fuels. But not all carbon-capture projects offer the same economic and environmental benefits. In fact, some can actually worsen climate change. (1-12-2024  |  Finance & Commerce)
 

OSHA and MSHA civil penalty amounts get annual bump
OSHA's maximum penalties for willful or repeat violations will be increasing approximately 3.2%. The 2024 increases --- to $161,323 from $156,259 in 2023 -- are legally mandated by January 15th each year under the Federal Civil Penalties Inflation Adjustment Act Improvements Act of 2015. Because January 15th is a federal holiday, this year's changes will be effective starting January 16th. (1-12-2024  |  Safety and Health Magazine)
 

Q & A: Rochester Destination Medical Center effort at its half-way point
The Destination Medical Center is the largest private-public partnership in the state of Minnesota. At its core, the initiative is a promise between the city of Rochester and the Mayo Clinic, the state's largest employer. It was a promise formulated as a 20-year project back in 2014, meaning the partnership is at its midway point. (1-12-2024  |  Finance & Commerce)
 

Sustainability rules move forward for Milwaukee County Projects
Milwaukee County will add a climate scoring system into its annual budget cycle criteria for building projects. The county Capital Improvements Committee (CIC) voted 6 - 1 to approve a scoring system that measured reduced emissions, improved climate resiliency for buildings and co-benefits such as workforce development plans and disaster preparation. The scoring system will be added to existing criteria the county uses when assessing capital projects. (1-12-2024  |  Finance & Commerce)
 

JANUARY 15, 2024
Building codes and reliable infrastructure help prevent snowstorm disasters
Winter storms can easily become billion-dollar disasters as the snow piles up on interstates and collapses roofs and power lines. Yet, while cancelled flights and business interruptions can't be avoided, what turns a snowstorm into a disaster often can be. One snowflake at a time, wet snow can pile up to a weight of 30-pounds per cubic foot on a rooftop --- enough to collapse a structure that is too light or not well designed. Although roof collapses are relatively rare, they are expensive and can take months to repair. (1-15-2024  |  Finance & Commerce)
 

Conflict in Red Sea inflating shipping rates
Since December, global media have reported attacks --- at the Red Sea's southern end --- on commercial ships launched by Yemen's Houthi group. The risk of piracy has caused shipping companies to avoid the route, which involves utilization of Egypt's Suex Canal on the Red Sea's northern end. Crude petroleum input prices were down 13.2%, while unprocessed energy materials were down 9.1%. Natural gas prices rose 1.5% in December. Overall construction input prices are 1.2% higher than a year ago, while non-residential construction input prices are 1.6% higher. (1-15-2024  |  Construction Briefing)
 

Minnesota at the forefront of diversity in engineering
Minnesota has been a leader in the effort to attract more women and people of color to the engineering and design services industry --- and that's good news as firms struggle to fill open positions, a prominent voice of the industry says. Jonathan Curry, executive director of the Minnesota Chapter of the American Council of Engineering Companies, shares thoughts of a recent DEI&B survey, which shows that engineering firms have room for growth when it comes to diversity. The "Diversity Roadmap" survey from ACEC's Research Institute, conducted last summer, attracted responses from nearly 200 ACEC member firms. (1-15-2024  |  Finance & Commerce)
 

Year ahead looks bright for development in Plymouth
Housing construction activity in Minnesota's busiest markets plunged last year, with housing permits down 40% across the 13-county metro plus Rochester. Other sectors were down too, beset by high interest rates and rising construction costs. Plymouth bucked this trend. The city permitted 137 new single-family homes in 2023, up from 99 in 2022. It approved two new multi-family communities last year after green-lighting none in 2022. 2024 is shaping up to be an even bigger year for development activity in Plymouth. (1-15-2024  |  Finance & Commerce)
 

JANUARY 16, 2024
Ahead of legislative session, Walz pitches $982-million in public construction projects
Governor Tim Walz rolled out his $982-million plan for public construction projects, a package that spans from prison fixups to dedicated busway expansions to projects that better connect Minnesotans to their natural resources. He emphasized the ongoing need to fund the construction and maintenance projects. Projects on his list also ranged from wastewater treatment plant replacements to ice rinks to flood mitigation. (1-16-2024  |  Minnesota Public Radio - MPR)
 

Backlog increases amid easing credit conditions
Construction backlog ticked up in December to 8.6 months due to improving financing availability, according to a release from Associated Builders and Contractors. The metric is still rebounding from a backlog level of 8.4 months in October, its lowest point since the first quarter of 2022, according to ABC. The December increase, however, has sparked some confidence among contractors, due to two consecutive months now of backlog growth. (1-16-2024  |  Construction Dive)
 

Construction input prices drop 3 months in a row
Construction input prices fell 0.6% in December largely due to plunging oil prices, according to a new Associated Builders and Contractors' analysis of U.S. Bureau of Labor Statistics Producer Price Index released January 12. The decrease marks three consecutive months of price moderation, though volatility still remains in the cards, said Anirban Basu, ABC chief economist. Overall construction costs remain 1.2% higher than a year ago, while nonresidential construction input prices are 1.6% pricier. (1-16-2024  |  Construction Dive)
 

David Mortenson on Twin Cities construction: More cranes are good, fewer are bad - but it's complicated
David Mortenson's key economic indicator in construction is typically this: More cranes on the skyline are good, fewer are bad. But it's been a bit more complicated than that. Mortenson, chairman of Golden Valley-based M.A. Mortenson Co. --- one of the largest construction firms in the nation --- shared his outlook for the U.S. construction industry at a conference hosted by the Federal Reserve Bank of Minneapolis. (1-16-2024  |  Minneapolis-St Paul Business Journal)
 

Economists highlight 3 major economic signals to watch in 2024
As 2024 unfolds, economists and other experts in the financial and housing markets suggested a few major factors that could be turning points, good or bad, for the U.S. economy. Here are those three themes --- the possibility of a recession, consumer spending slowdown, and a housing rebound --- along with some observations on each of them. (1-16-2024  |  Finance & Commerce)
 

Ramsey County OKs sale of TCAAP outlot in Arden Hills to Ryan Cos.
The board unanimously approved the purchase and sale agreement with Ryan for an outlot, known as Outlot A, of Rice Creek Commons, the name of the redevelopment site for the 427-acre former TCAAP.  Ryan's plan for the site is a build-to-suit property accommodating 400,000 to 600,000-square-feet, according to a county press release. This could include a corporate campus, life sciences offices, a research and development center, or manufacturing and distribution facilities. It's also expected the plan would include on-site retail and restaurant space.  (1-16-2024  |  Minneapolis-St Paul Business Journal)
 

Slumberland outlet to become early education center
Oakdale-based Slumberland Furniture is slashing prices even more than usual at its St. Louis Park Clearance Outlet as it prepares for a new owner to redevelop it into a Spanish immersion early education center. Edina-based TOLD Development paid the furniture retailer $2.6-million for the store at 4140 Excelsior Boulevard. (1-16-2024  |  Finance & Commerce)
 

JANUARY 17, 2024
Construction experts suggest being proactive with ESG policies
As employees, tenants and investors give more consideration to a business's environmental, social and governance (ESG) practices, construction and real estate companies need to be proactive with their strategies and policies, according to industry experts. Traction for ESG concepts is increasing and the willingness of a business to embrace implementation can attract workers, tenants and customers while also providing long-term cost efficiencies. (1-17-2024  |  Finance & Commerce)
 

Five construction tech innovations from CES 2024
The focus of this year's Consumer Electronics Show (CES) showcased ways artificial intelligence and other breakthrough technology can boost productivity while also reversing environmental impacts and future-proofing industries like construction and agriculture. (1-17-2024  |  Construction Dive)
 

McGough pitches senior apartments at Blooming Central Station
McGough Cos. is proposing to build a 164-unit senior apartment building at the Bloomington Central Station development near Mall of America. The proposal represents a further refinement to McGough's previously approved revision to bring three residential apartment buildings to the development in place of three proposed office towers. The plans for this building depart slightly from that approved plan, with fewer units and no retail. The previous plan called for 250- units and 6,000-square-feet of retail. (1-17-2024  |  Minneapolis-St Paul Business Journal)
 

McGough plans senior apartments at Bloomington Central Station
The multi-family senior housing proposal comes from McGough, a Roseville-based group that has played a significant role in developing the area around Bloomington Central Station. It would be at 3001 American Boulevard East and be five stories with 164 units. The adults McGough is targeting with the proposed development are "active senior-adults". The location of the development would be ideal for adults because of its proximity to the amenities offered by the area around Bloomington Central Station. The unique amenities for senior housing might include a golf simulator, a woodworking shop area and small gathering spaces for group activities. (1-17-2024  |  Finance & Commerce)
 

Six trends that could shape US cities in 2024
Flying taxis, high-speed rail, emissions-free buildings and transportation" Some long-held dreams of urban futurists are moving forward in 2024. Cities also are taking advantage of increased federal funding and growing public sentiment to address some long-neglected issues, like the shortage of affordable housing and the impacts of climate change, especially on disadvantaged communities. At the same time, however, cities are confronting problems that stem from the pandemic: empty office buildings, hollowed-out downtowns and public transit systems hobbled by changes in commuting. In some cases, new technologies are providing new solutions; other new technologies, like generative AI, are cause for both optimism and caution by city leaders. (1-17-2024  |  Smart Cities Dive)
 

Study reveals asbestos exposure in construction
A research study has raised significant concerns about the dangers of asbestos exposure for workers in the construction industry. The study, published in the Annals of Work Exposures and Health, reveals that the installation and removal of asbestos cement products pose grave risks, with exposure levels far exceeding the occupational limited in the United States. Key findings of the study include: (1) When asbestos cement pipes are cut, the average exposure to asbestos is over 50 times higher than the short-term limit established by OSHA in the U.S., and (2) Asbestos cement products, including pipes, siding, and roofing, account for more than 90% of global asbestos use. (1-17-2024  |  For Construction Pros)
 

Summit Orthopedics plans 80,000-square-foot facility at Plymouth's Prudential site
The Woodbury-based health care company will be the sole tenant in a new two-story building on the northwest corner of the overall site, confirmed Dan Salzer, director of development for Indianapolis-based Scannell Properties, which is co-developing the site. Located on the corner of Interstate 94 and Bass Lake Road, the Prudential site is also being co-developed by Minnetonka-based Roers Cos. (1-17-2024  |  Minneapolis-St Paul Business Journal)
 

Upper Post Flats fina phase done
The final phase of the 192-unit Upper Post Flats, a $160-million development that turned landmark buildings at the Fort Snelling Upper Post into affordable housing, is complete after years of construction and planning. BKV Group, which designed the project for Dominium, sad the project is finished and "fully open to the public." Military members, veterans, first responders and their families get first priority in housing. The "below-market-rate rents" are designed to be affordable for households earning up to 60% of the area median income, BKV Group said. (1-17-2024  |  Finance & Commerce)
 

Walz pitches $982-million infrastructure bonding plan
Governor Tim Walz proposed a $982-million public infrastructure plan that includes a new headquarters for the Minnesota State Patrol but focuses mostly on the unglamorous task of preserving existing buildings and facilities. The package, known as a bonding bill, will be a centerpiece of the governor's agenda for the 2024 legislative session, which convenes February 12. Walz said his plan would protect drinking water, improve roads and bridges, protect public safety and support safe housing. (1-17-2024  |  Finance & Commerce)
 

JANUARY 18, 2024
330 apartment in Plymouth closer to construction
The Plymouth Planning Commission unanimously recommended approval of the project, which would also offer 12 rental townhomes and a 5,600-square-foot retail building with teh potential for adding another 5,000-square-feet, according to city documents. The vacant site is located on the north side of Highway 55 and along 10th Avenue North. The apartments, townhomes and retail space would be developed on separate newly created lots. (1-18-2024  |  Minneapolis-St. Paul Business Journal)
 

Cottage Grove OKs housing at 'gateway' to city
Roers Cos. has the final go-ahead from the Cottage Grove City Council to build a 144-unit mixed-income apartment building in the southeast metro suburb, a development that promises to boost the city's growing stock of affordable housing and enhance its architectural landscape. Given the site's high-profile location along Highway 61, the City Council urged Roers to go the extra mile on the aesthetics front. The resulting design --- which features a mix of stone, glass, specialty block and fiber cement exterior building materials --- got strong reviews from city officials. (1-18-2024  |  Finance & Commerce)
 

DEED: Minnesota construction job growth outpaces nation
Minnesota's construction industry added 1,200 jobs from November to December and continues to outperform the nation as a whole in that sector, according to data released by the Minnesota Department of Employment and Economic Development. In all, the state saw a net gain of 800 jobs during the past month, DEED said, adding that it was the sixth consecutive month of job growth. Leisure & Hospitality led all sectors with 1,800 jobs added, followed by Trade, Transportation & Utilities (1,500), Construction (1,200), Mining & Logging (300), and Financial Activities (100). In December, Minnesota's unemployment rate fell two-tenths of a percentage point to 2.9%, the U.S. rate remained at 3.7%. (1-18-2024  |  Finance & Commerce)
 

Rapid City Council approves $147M water reclamation facility upgrade
In a major step to upgrade the city's water infrastructure, the Rapid City Council approved $147-million for a second phase of improvements at the Water Reclamation Facility South Plant. The second phase of the project focuses on constructing new reclamation and water waste treatment facilities and processes. It includes the addition of an aeration basin, two secondary clarifiers, a dewatering building, a pumping building and all necessary equipment. The project also aims to improve the resilience of the facilities with backup generators and alternative treatment options. Renovations and modifications to various parts of the existing facility are also planned. (1-18-2024  |  Rapid City Journal)
 

University of Minnesota weighs Williams Arena renovation or replacement
The Pioneer Press, citing university documents, reports that the U of M has hired Populous, a Kansas City-based architecture firm known for its work on sports facilities, for a feasibility study of "possible renovation to Williams Arena (and Maturi) Pavilion or consider new construction." Williams Arena was built in 1928 and has been the home of the Gophers basketball teams for decades. (It also hosted U of M hockey before the construction of Mariucci Arena in the 1990s.) The Populous study will include options for suites and other premium seating, as well as better access for fans in the arena's concourses and restrooms. The current study is just at the conceptual level, though the firm will work with Golden Valley-based Mortenson Co. to prove cost estimates as options. (1-18-2024  |  Minneapolis-St Paul Business Journal)
 

Wisconsin Senate approves bill to shorten commercial building reviews
The Wisconsin State Senate passed several bills that would alter how state and local government would review commercial building plans. Bill supporters promised they would eliminate delays in the commercial building process, while state inspectors said maintaining the current system was important to public health and safety. In 2022, lawmakers introduced a similar set of bills that would have exempted single story buildings with 100,000-square-feet and buildings with 24 plumbing fixtures or fewer from state review. (1-18-2024  |  Finance & Commerce)
 

2024 Projects to Watch: The Twin Cities CRE landscape will be reshaped by these 12 properties
It's no secret the commercial real estate market was a volatile one in 2023. But that won't keep some projects form moving ahead in 2024. The volatility is largely attributed to heightened interest rates, declining values and lack of available financing. But here's some renewed optimism for this year, after the Federal Reserve signaled that interest rates would be cut in 2024. Here's where some of the top properties in the Twin Cities stand and where they're headed in the year to come. (1-19-2024  |  Minneapolis-St. Paul Business Journal)