Even some of the larger subdivisions put in this area that have 100 lots with each lot ranging from 1 to 2 acres each are done with 200 sized machines.
Big equipment costs more money there isn't enough work to keep bigger excavators working. The cost of fuel to operate the bigger excavators is a big expense. In reality two 200 sized machines working on a site in two different areas has more production than one 45 ton machine.
A 45 ton machine rate is well over 300 dollars per hour where as a 200 sized machine is about 200 per hour you have two of them working on the site that extra 100 dollars per hour is made up in faster production.
At auctions machines in the 16-25 ton range are in demand machines in the 30-40 ton range nobody wants them you can't use them for forestry and for residential construction they are way too big. What ends up happening is they sell cheap for scrap or a gravel pit will buy it for digging out material.
I have been at auctions where a friggin mini excavator goes for more money than a big machine.
There will always be residential construction big projects are few far and between.
Like I meantioned a few times one of the contractors I know had 35-40 ton excavators got rid of them all bought a 8000lb mini he is happier than he can ever be. Says he makes a good living no big headaches to worry about and he is busier than he can ever be. Not worth owning big equipment you never know where your next job is going to be. Your constantly looking for work for a big machine.
Another guy I know had the same big excavators with employees got rid of it all bought a 160 sized machine no more headaches and makes good money the machine is paid for.
When you have 100,000 dollar a month equipment payments you need to keep that stuff working. Who in the h*ll wants to deal with that kind of stress. Right now with the dry weather forestry contractors are on fire season which has been longer than normal these contractors have machines sitting idle because they can't work because of the risk of fire. So now you have excavators that have payments of 10 grand a month each sitting not making money is getting expensive. The payments never stop if the machine isn't working the contractor still has to pay for the machine. There is no work for a 30 ton excavator in residential construction so it just sits in the bush waiting for the rain to come.
Last edited by Gravel Rat; 09-06-2006 at 04:36 PM.