A recent survey of more than 200 subcontractors and suppliers in the Northeast found that respondents have been prefabricating 20% more than they did prior to the COVID-19 pandemic. And 71% said that they had seen an increase in requests for design-assist proposals, a strong sign that speed-to-market is a priority.
Consigli Construction’s Market Outlook Report for the first and second quarters of 2021 states that the pandemic has motivated subs and vendors to turn to technology in their shops and field processes. The survey’s respondents are also more receptive to cost-saving material management software, tool upgrades, and robotics that improve efficiency and give subs the flexibility they need to manage on-site workforces at a time when skilled labor is in short supply in some markets.
While 72% of the survey’s respondents say they aren’t concerned about staffing their projects this year, Consigli suggests they need to monitor their workforce resources for 2022, based on the amount of work in the pipeline.
PRICING AND SUPPLY ARE ISSUES FOR SEVERAL PRODUCT
The Market Outlook expects copper and steel to manifest the greatest risk for price inflation. Chart: Consigli Construction
The Market Outlook Report also looks at materials price inflation in several product categories (see chart). Metal studs, copper, and PVC are the materials that the report expects to show the greatest price increases in the first half of the year. The report also suggests that lumber—whose pricing had jumped by 73% since February 2020—could be stabilizing, depending on residential demand.
(The Commerce Department reported last week that housing starts had surged to a nearly 15-year high in March.)
Consigli recommends that subs keep a close eye on high-risk materials, and lock in prices as soon as possible to avoid exposure to inflation. Subs should also watch for supply-chain disruptions, especially for products coming from overseas like flooring and cabinetry. Where possible, have access to alternate materials and delivery options.
Related Stories
Resiliency | Apr 18, 2023
AI-simulated hurricanes could aid in designing more resilient buildings
Researchers at the National Institute of Standards and Technology (NIST) have devised a new method of digitally simulating hurricanes in an effort to create more resilient buildings. A recent study asserts that the simulations can accurately represent the trajectory and wind speeds of a collection of actual storms.
Green | Apr 18, 2023
USGBC and IWBI unveil streamlined certification pathway for LEED and WELL green building programs
The U.S. Green Building Council, Green Business Certification Inc., and the International WELL Building Institute released a streamlined process for projects pursuing certifications for the LEED green building rating system and the WELL Building Standard. The new protocol simplifies documentation for projects that are pursuing both certifications at the same time or that have already earned one certification and are looking to add the other.
K-12 Schools | Apr 18, 2023
ASHRAE offers indoor air quality guide for schools
The American Society of Heating, Refrigerating and Air-Conditioning Engineers (ASHRAE) has released a guide for educators, administrators, and school districts on indoor air quality. The guide can be used as a tool to discuss options to improve indoor air quality based on existing HVAC equipment, regional objectives, and available funding.
Data Centers | Apr 14, 2023
JLL's data center outlook: Cloud computing, AI driving exponential growth for data center industry
According to JLL’s new Global Data Center Outlook, the mass adoption of cloud computing and artificial intelligence (AI) is driving exponential growth for the data center industry, with hyperscale and edge computing leading investor demand.
Healthcare Facilities | Apr 13, 2023
Healthcare construction costs for 2023
Data from Gordian breaks down the average cost per square foot for a three-story hospital across 10 U.S. cities.
Higher Education | Apr 13, 2023
Higher education construction costs for 2023
Fresh data from Gordian breaks down the average cost per square foot for a two-story college classroom building across 10 U.S. cities.
Office Buildings | Apr 13, 2023
L.A. headquarters for startup Califia Farms incorporates post-pandemic hybrid workplace design concepts
The new Los Angeles headquarters for fast-growing Califia Farms, a brand of dairy alternative products, was designed by SLAM with the post-Covid hybrid work environment in mind. Located in Maxwell Coffee House, a historic production facility built in 1924 that has become a vibrant mixed-use complex, the office features a café bordered by generous meeting rooms.
3D Printing | Apr 11, 2023
University of Michigan’s DART Laboratory unveils Shell Wall—a concrete wall that’s lightweight and freeform 3D printed
The University of Michigan’s DART Laboratory has unveiled a new product called Shell Wall—which the organization describes as the first lightweight, freeform 3D printed and structurally reinforced concrete wall. The innovative product leverages DART Laboratory’s research and development on the use of 3D-printing technology to build structures that require less concrete.
Market Data | Apr 11, 2023
Construction crane count reaches all-time high in Q1 2023
Toronto, Seattle, Los Angeles, and Denver top the list of U.S/Canadian cities with the greatest number of fixed cranes on construction sites, according to Rider Levett Bucknall's RLB Crane Index for North America for Q1 2023.
University Buildings | Apr 11, 2023
Supersizing higher education: Tracking the rise of mega buildings on university campuses
Mega buildings on higher education campuses aren’t unusual. But what has been different lately is the sheer number of supersized projects that have been in the works over the last 12–15 months.