Building Industry Magazine - December 2012 - (Page 32)
NEW CONSTRUCTION:
Guam’s Building Industry Switches Focus
BY MAR-VIC CAGURANGAN
Guam Reef is undergoing a $112 million renovation. Construction companies on Guam lost their chance to bid on two large projects when the Navy withdrew the solicitation for the Mamizu multiple award construction contract in March. The canceled MACC (multiple award construction contract) involved the construction of waterfront headquarters, utilities, an operations building and site improvements. The two seed projects worth $330 million were supposed to be financed through the $2.8 billion grant from Japan. The suspended projects were related to the military buildup, which has been marred by congressional budget restrictions. According to the Bureau of Labor
32 | BUILDING INDUSTRY | DECEMBER 2012
Photos by Mar-Vic Cagurangan
Statistics, combined appropriations for defense projects from the U.S. and Japan showed a fall from $1.2 billion in 2010 to $758 million in 2011 and $176 million in 2012. But despite the reduced cash flow for defense projects, the construction boom on Guam has not fizzled out, and the contracting industry doesn’t seem to be suffering from the wrongly predicted shrinkage of
Table of Contents for the Digital Edition of Building Industry Magazine - December 2012