According to JLL’s U.S. and Canada Construction Trends 2024 forecast, the construction industry in both countries is set for success in the coming years due to strong demand and normalized supply chains and material prices. Despite elevated interest rates, there will continue to be a high demand for construction.
JLL President of Project and Development Services, Americas Todd Burns stated that the industry is well-equipped to face any challenges that may arise in 2024. With a growing need for housing, return-to-office efforts gaining momentum, as well as increased federal support for infrastructure projects and manufacturing growth, the construction sector is positioned for growth.
While overall spending on construction in the U.S. is expected to remain stable over time period analyzed by JLL’s report , there will be variations among different sectors within this market . Material costs are projected to increase by 2% -6%, while employee wages are expected rise between 3%-5%. Overall costs are estimated rise between 2%-4%.
The article originally appeared on Connect CRE website.
