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Construction Freeze: Looking Icier Longer Than Usual

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Grim prognostications: there have been construction downturns in San Francisco before, but this time, it feels like it's for real, and it's going to stay past its period of welcome, says the Chron. The story hinges on the the lack of credit out there for major new construction— lenders see "extraordinarily weak" demand for commercial and residential space for several more years, mainly because they also see no signs that businesses are growing. Even megaprojects like Hunters Point and Candlestick Point, backed by huge developers (well, namely Lennar), are ostensibly in trouble, as banks are still a little gun-shy after the big bank spank of 2008. There's also been a 73 percent drop in building permits in the San Francisco region over a year, meaning that even if when the economy recovers at some point, the amount of housing and commercial construction may still be dragging its feet. How's that for Monday morning news.
· Building in S.F. not expected to grow for years [SFGate]