This may not directly be AEC industry news, but it’s an important trend that all business people should watch. Sweden’s Post-och Inrikes Tidningar newspaper, the world’s oldest paper still in circulation, has dropped its paper edition and now exists only in cyberspace, according to KARL RITTER, Associated Press and the blog MicroPersuasion.

Many in the newspaper and PR industry believe this is the fate facing many of the world’s best-known publications, as more people (like you!) get their news online. Here’s what Time Magazine has to say on the subject.
The paper edition of Post-och Inrikes Tidningar, by the way, had a circulation of just 1,000, although the Web site is expected to attract more readers.

REBusinessOnline just published a reader survey on the future of lifestyle centers, also known as mixed-use or multi-use, and the consensus is that the sector is still strong, although 20 percent of those surveyed believe there is a danger of overbuilding. Three-fourths said there is demand for more lifestyle centers in their region, but many commented that developers should proceed with caution to get the right site, a solid anchor and the right mix of tenants.

Although the Bureau of Labor Statistics’ December Producer Price Index reported construction materials cost were down in November, the Associated General Contractors of America’s Chief Economist Ken Simonson says that trend is not likely to last.

According to Simonson, costs are likely to be higher for construction than for the economy as a whole over the next 12 months.

In November, prices for diesel fuel, asphalt, plastic construction products, lumber and plywood, gypsum products and steel and copper products declined, mostly because of the slowdown in home construction. But prices continued to increase for most concrete products, brick, and aluminum mill shapes. Petroleum, cement and metal prices remain at record high levels.

Reference: Rock Products

The vacancy rate in all classes of office space in St. Louis dropped from 16.5% in 2005 to 12.2% in the third quarter of 2006, according to Heartland Real Estate Business. Vacancy rates have declined continuously over the past two and a half years, and rental rates also have picked up. The market is driven largely by medical facilities and build-to-suit construction.  Hospitals, banks, Express Scripts, Edward Jones and Anheuser Busch are some of the largest office users that are building or leasing new space.

Lease rates for Class A office buildings in St. Louis range from $19.50 per square foot downtown submarket to $28.50 per square foot in Clayton. The total vacancy rate is 12.2 percent, ranging from 4.5 percent in the Manchester/Interstate 270 area to 25.7 percent in the Olive/Lindbergh area.

Cement prices typically show a strong increase in the spring, but prices have been on the rise since the second half of 2006. The upcoming issue of Engineering News Record reports that the average price for portland cement increased each month for a total gain of 3.4%. Cement prices are now 7.1% higher than a year ago.