Rouse Asset Services Issues Latest Report on Rental Equipment
The newest edition of the Rouse Rental Report, issued July 31, says that although orderly liquidation values (OLV) for the used equipment in 14 major rental equipment categories dropped 0.2 percent compared to May, values are still up 4.9 percent overall for the first six months of 2012.
Rouse bases its OLV on retail (fair market value) and auction (forced liquidation value) sales data collected from rental companies, dealers, and the public auction market.
Rouse tracks 14 types of rental equipment, ranging from air compressors to bulldozers. Its coverage includes three types of aerial work platforms (AWP) and two types of forklifts.
Among the aerial work platforms and forklifts that Rouse tracks, articulating-boom AWPs have fared the best over the first half of the year. Their value has risen 11.3 percent during the period. Telescopic-boom AWPs are up 8.8 percent; warehouse/industrial forklifts were up 7.9 percent; and high-reach forklifts were up 5.5 percent. Only scissor-lift values showed a net drop for the six months. They were down 3.8 percent.
Although the values Rouse tracks have remained up overall for the past six months, AWP values dipped from May to June, while forklift values continued their upward trend. Articulating-boom AWP values stayed even, month to month, while telescopic-boom AWPs dropped 2.2 percent and scissor lifts dropped 2.4 percent. The value of high-lift and warehouse/industrial forklifts both rose 0.3 percent month to month.
Rouse reports that April 2012 rental rates rose an average of 1.2 percent, compared to March 2012 rates, based on results from the companies participating in Rouse’s Rental Metrics Benchmark Service. The April 2012 rental rates stand 7.9 percent higher than those from April of 2011.
Auction sales of rental and construction equipment that Rouse tracks averaged 0.4 percent less in June than in May. Rouse recorded 4,043 units sold at 37 auctions across North America. They represented a combined value of $104.8 million and generated $104.3 million of gross auction proceeds.