Close to 80 leaders from the Williston Area Construction and Real Estate Industry gathered on February February 19 to share their outlooks on the construction, housing and development markets for 2015 in the wake of the recent drop in oil prices. Mike Dolbec of Windsong Construction, John Sessions of Bakken Housing Company , Bob Horab of McCody Concrete Products, and Scott Meske, President of the Williston Area Chamber of Commerce participated in an open forum, moderated by Jim Rasche of Spec Ops Construction Services. The panel discussion was the featured presentation at the February General Membership Meeting of the Williston Area Builders’ Association.
The combined value of the investments in the Williston area represented by the panelists is well in excess of several hundred million dollars as they laid bare their visions for the upcoming 12 months.
Dolbec reported that the price of housing was holding steady in the face of various oil company slowdowns and that demand for new product has not abated. Sessions echoed that viewpoint but pointed out that even though rental rates are holding in response to demand, it may become necessary to include additional amenities in his projects as well as flexible lease terms. Both developers applauded the recent increase in FHA loan limits specific to western North Dakota in response to the strong demand for affordable housing. Norm McCloud, assistant to Sen. Heidi Heitkamp, also participated and explained the Heitkamp/Murkowski proposals in Washington, DC to raise the FHA loan limits as well as their support for urging oil exports to Mexico….both in the best interests of the Bakken Region.
Meske had an unusual description for the activity in the Bakken as slowing from “Insane” to merely “Crazy”. The panelists all shared the view that the market slowdown was somewhat welcomed in that it gives the area economy a chance to “catch its breath” and reload for even greater opportunities in a more structured and organized environment. Horab explained that, as a life-long resident of the area, he has seen previous booms and busts. However, the difference for him this time is that the oil extraction infrastructure in place combined with the proven reserves in the ground, make it imminent for the oil industry to continue future development. He also reiterated that a “weed and feed” thinning out of the construction “non-performers” would be welcomed.
Williston Area Builders Assn (WABA) represents members in Williams, McKenzie, Mountrail, Burke & Divide counties. The membership includes the North Dakota Association of Home Builders and National Association of Home Builders, representing and over 140,000 members nationwide. The association provides members with discounts and the power to have your voice heard at the Capitol.
The next meeting of WABA is scheduled for 3/19/15. To find out more call 701 572 5744 or go to the WABA website at http://www.willistonbuilders.com
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