By G. SCOTT THOMAS
sthomas@bizjournals.com | 716-541-1618

The Buffalo area ranks sixth in the nation for the stability of its construction sector, according to a study released Aug. 24.

On Numbers, an online service of American City Business Journals Inc., analyzed U.S. Census Bureau data for the 170 metropolitan areas that issued building permits for more than 2,000 housing units in 2005. ACBJ is the parent company of Business First.

Every one of those markets experienced a drop of at least 13 percent by 2010. Sixty-five metros fell by 75 percent or more.

A database with breakdowns for all 170 markets can be accessed at http://tinyurl.com/5yearconstruct.

Buffalo-area drop

The Buffalo area, which encompasses Erie and Niagara counties, fell 28.5 percent in five years.

A total of 2,024 privately owned housing units were authorized in the two counties in 2005, a figure that dropped to 1,498 by 2010. But most markets suffered losses of much greater severity. The median decline for the study group was 69.9 percent.

The only places that did better than Buffalo were:

• Gulfport-Biloxi, Miss., down 13.8 percent

• El Paso, Texas, down 15.8 percent

• Fayetteville, N.C., down 16.6 percent

• Kennewick-Pasco-Richland, Wash., down 17.5 percent

• San Jose-Sunnyvale-Santa Clara, Calif., down 27.1 percent.

Others in the state

Three other markets across New York joined Buffalo among the Top 50 in the study: Rochester (16th), Poughkeepsie-Newburgh-Middletown (25th) and Albany-Schenectady-Troy (47th).

Merced, Calif., was hit the hardest. A total of 3,665 privately owned housing units were authorized in the Merced area in 2005, a number that plummeted 97.1 percent to 106 units in 2010.

Next were two Florida metros: Cape Coral-Fort Myers, with a drop of 95.7 percent, and Port St. Lucie, with a decline of 95.4 percent.

The Atlanta area experienced the sharpest loss of any major market, falling 89.6 percent from 72,861 units authorized in 2005 to 7,575 in 2010.

Other major markets with large losses were Miami (down 87.1 percent in five years), Phoenix (down 86.8 percent), Chicago (down 86.5 percent), Las Vegas (down 86.1 percent) and Orlando (down 85.5 percent).

The Census Bureau defines a housing unit as any self-contained home.

A building with 10 apartments, for example, counts as 10 units.