Commercial Equipment Rental and Leasing NAICS 5324

Oct 4, 2025 - Crane Count Drops

• A decline in the number of cranes operating in North America could signal a reduction in crane rental demand. Rider Levett Bucknall’s latest Crane Count reveals a 44% drop in crane activity across 16 North American cities, signaling a slowdown in construction momentum. While cities including Chicago, Denver, and San Francisco saw increases, major markets such as New York and Los Angeles experienced sharp declines due to project completions, financing constraints, and high interest rates. The report highlights a fragmented landscape where rising national construction costs contrast with uneven regional activity. This unevenness suggests the sector is in transition, with developers cautiously navigating economic pressures and shifting demand. A drop in crane activity could signal weaker demand growth for other types of construction equipment rentals.
• Demand for building design services rose slightly in August from the prior month, but design demand remained in negative territory, according to a September report by the American Institute of Architects (AIA). The AIA’s Architecture Billing Index (ABI) rose to 47.2 compared to July’s reading of 46.2. Any reading of 50 or more indicates growth in architectural billings. The score for new project inquiries dropped to 50.3 in August from 53.4 in July, and the index for the value of new design contracts decreased from 47.9 to 47.2. August marked the 18th consecutive month of decline for new design contracts, the longest slump in the 15 years the AIA has collected data. However, the AIA’s Chief Economist, Kermit Baker said, "While business conditions remained soft at architecture firms nationally, there are signs that the downturn may be bottoming out. Inquiries for new projects have increased four straight months, and billings both at firms with a multifamily or commercial/industrial specialization are beginning to stabilize."

• The Equipment Leasing and Finance Association’s (ELFA) Monthly CapEx Finance Index (CFI) showed new business volume increased 2.8% to $10 billion in August 2025 compared to July. On a year-over-year basis, new business volumes decreased 2% in August. New business volume declined 2.7% in the first eight months of 2025 compared to the same period in 2024. ELFA CEO and President Leigh Lytle said, "The equipment finance sector is holding up well despite some choppiness, and we’re seeing a second consecutive month of improving demand. I am not concerned about the modest rise in losses; we have seen similar spikes followed by quick reversals. With lower interest rates now a reality, we should see an easier financial environment, which should help fuel growth in equipment and software demand over the next 12 to 18 months."
• Construction firms that work on civil infrastructure projects are holding steady as they manage uncertainties, including waning backlog growth and weaker margins, according to FMI’s third-quarter Civil Infrastructure Construction Index (CICI) survey. The CICI reading for the third quarter was 50.8 compared to 52.2 in Q2 2025 – on a 100-point scale. Any CICI reading above 50 indicates that more civil infrastructure contractors see conditions as good than poor. While about 52% of firms surveyed said their work backlogs had risen in Q3 2025 compared to a year earlier, only 25% expected backlog growth in Q4. While civil infrastructure firms expect backlogs to ease, margins remain under pressure from competitive bidding and higher costs. FMI expects firms to focus on project selection and cost controls to improve margins, as higher work volumes are a less reliable profitability boost. Infrastructure activity is a driver of equipment rental demand.