PlanGrid Construction Productivity Blog
top 10 us cities construction growth

Top 10 US Cities Posed for Construction Growth in 2018 [SlideShare]

Did Your Hometown Make the List?

In the US, it’s a good time to be in the business of construction as the industry is booming. If you take a look at the at skylines of most major cities in America, you’d be hard-pressed to not see a familiar silhouette of a crane. In fact, according to the US Construction Pipeline, construction growth was strong in the first quarter of 2018 with a 4% increase in total number of projects over last year. Overall, total construction is anticipated to increase by 5% in 2018 compared with 2017.

Nonetheless, not all areas in the US are experiencing the same volume of construction growth. For instance, Texas is anticipated to have the most substantial construction growth of all states in 2018 at 10%. The Southern and the Western regions are expected to have the most significant growth throughout the country. Alternatively, the Northeast will experience the least amount of growth out of all US regions primarily due to the decline in construction in New York and Boston.

So, which cities in the US are experiencing the fastest growth in construction? View our SlideShare “Top 10 US Cities for Construction Growth in 2018.” Primarily, this ranking is based on data collected by Oldcastle Business Intelligence in their report, “2018 North American Construction Forecast Report.” Enjoy and flip through the list below:

Top 10 U.S. Cities with the Fastest Construction Growth in 2018 from PlanGrid

Factors Limiting Construction Growth

While the US construction marketing is currently experiencing remarkable construction growth, it’s only sustainable long-term if builders embrace modern technology and practices. As of now, the labor shortage, lack of digitalization and poor coordination are three major factors that could limit a future flourishment of construction in America.  

The Labor Shortage

The labor shortage has been one of the biggest discussed topics in the construction industry for years. It’s also limiting construction growth in the US and across the world. According to a new study, 90% of contractors report concern over the labor shortage. Meanwhile, 96% of contractors believe commercial construction services will increase over the next year. So, how will companies be able to meet construction growth demands with enough skilled workers to complete projects?

Overall, the industry needs to devote more attention to the recruitment and retention of skilled labor. Without an investment in building up the future workforce, there’s no way the industry can build up our physical world. Furthermore, companies can benefit from new technologies that allow workers to do more with less. Innovations like field software and automation help teams improve their production capabilities and better focus on the important work at hand.

Lack of Digitalization

While paper is slowly being phased out of jobsites, many companies are still completely reliant on the material to complete jobs. As a result, information is constantly outdated, and communication is disjointed and inefficient.

If companies are serious about meeting the increasing demands of building in the US, it takes a commitment to full-scale digitalization. That means getting rid of all traces of paper and adopting a collaborative document management system that provides real time access and visibility to all project stakeholders.

Poor Coordination

For most jobsites, there is little visibility into what other teams are doing. Historically, construction is quite fragmented. For instance, electrical subs may know what they need to complete but have little insight into what other teams are doing. This gives teams very narrow views of the project with little knowledge on how their segment of work might affect others or vice versa. This lack of communication between teams can create huge bottlenecks and rework that can push projects way over budget and schedule.

Coordination and collaboration in construction can be improved with the help of better processes and tools. Even moving away from traditional delivery methods like design-bid-build to more collaborative methods like integrated project delivery (IPD), will help teams establish more coordination, early on. Technology like BIM and field collaboration software are also essential to keeping teams together starting at the earliest project phase. With more alignment early on, project teams are less likely to encounter unexpected changes down the road.

Fueling the Future of Construction Growth

Construction needs aren’t going away any time soon. Nevertheless, now is not the time to take advantage of the influx of work. The US, in particular, has some serious infrastructure goals that will need to be filled in the coming years, meaning builders need to be on their “A game” to provide for our future cities and populations. Construction teams need to be well equipped to meet the increase in construction demands and can only do so by embracing cutting-edge technology and methods that allow teams to operate at a higher efficiency.

Did your city make the list? What cities do you think will experience the most growth in 2019 and the future? Share your thoughts in the comment thread below!

Further Reading:  Future Foundations: New Construction Materials All Builders Should Know

PlanGrid

Archives