R.I. feels building slump

PROVIDENCE—A new report says the nation is in a home-building slump, and Rhode Island contractors say their state is no exception.

In fact, Roger Warren of the Rhode Island Builders Association says state’s slump might end up being more severe.

A national study out Friday said construction of single-family homes is at the lowest level in 26 years.

In Rhode Island, Warren said the number of building permits may drop below 1,000 this year for the first time since at least the early 1990s. He told The Providence Journal that communities issued just 431 building permits in the first half of 2008, even before the credit crisis hit.

Tom Colucci, who owns Colucci Development in Cranston, said times are definitely challenging, but that can mean deep discounts for buyers.