After months of climbing upward, used equipment values leveled off in May, according to the June Rouse Rental Report. Meanwhile, auction results were up 0.3% over April forced liquidation values (FLV).
May orderly liquidation values (OLV) for used equipment across the 14 major rental category indices tracked by Rouse did not changed compared to April values. For the six months ending May 31, 2012, average index values increased 5.3%. Five out of 14 cateory indices recorded one-month value increases ranging from 1.1% for air compressors to 2.5% for generators.
May auction sales of rental and construction equipment tracked by Rouse averaged 0.3% higher than Rouse April FLV values. Rouse recorded 1,390 units that sold at 18 separate auction sales conducted across North America. The units represented a combined FLV (as of May 31) of $41.8 million and generated $42 million of gross auction proceeds.
Also noted in the June report, March rental rates increased 0.7% on average for the rental companies participating in the Rouse Analytics Rental Metrics Benchmark Service. Rates increased 7% relative to March 2011. Rouse Analytics calculates rate change weighted by prior period activity in accordance with the ARA Rental Market Metrics standard.