Skanska's 2024 Summer Report: Market Trends & Growth Opportunities

NEW YORK, Aug. 27, 2024 /PRNewswire/ -- Skanska, a leading global construction and development firm, has unveiled its Summer 2024 Construction Market Trends Report. The comprehensive report provides insights into supply pricing, labor shortages in the industry, and forecasts of rising construction costs across the United States in both near- and long-term scenarios. 
 
Skanska's operations span multiple sectors throughout the country, which affords it a unique perspective on market trends and what is to be expected in 2025: 
 
The market sector overview suggests that despite an uneven state of supply chains due to the pandemic recovery period, investment will persist in healthcare projects, higher education establishments, as well as aviation hubs and science and technology centers. Of all reported markets, Orlando emerged as a strong contender, with large-scale projects like Universal Studios' new park nearing completion this year along with plans for multi-billion dollar investments into Disney World over the coming years. 
 
On another note, DC was identified among strained markets currently facing stagnation within their office market segment, leading to longer project timelines contingent upon falling rates over time. In stark contrast, Portland showed consistency similar to DC but attributed differently: high-tech industries alongside transportation and education have seen an influx of new opportunities while competition remains high yet fees for projects remain steady. 
 
"We are witnessing a significant surge in public infrastructure work concurrent with the implementation of electrification and decarbonization initiatives nationwide," said Steve Stouthamer, Executive Vice President of Project Planning at Skanska USA Building. "We continue innovating by integrating sustainable solutions coupled with cutting-edge technologies; we anticipate wider adoption facilitated through reports like our Summer 2024 Construction Market Trends Report." 
 
In conjunction with releasing this report, Skanska is organizing a webinar scheduled for August 28th detailing the latest trends within the science and technology sector, including the rapid evolution observed within semiconductor production labs, research facilities, data centers, and other high-tech project areas, along with risk mitigation strategies and insights. To register for this webinar or learn more, please click here. 
 
Additional highlights from the Summer 2024 Construction Market Trends Report include: 
 
Construction Unemployment & Labor: The unemployment rate within construction remains unchanged at 3.9% compared to last year's July data. 
Architecture Billings Index: In June 2024, architecture firms reported a decrease in billings for the seventeenth consecutive month with an ABI score of 46.4 indicating a decline (scores below 50 mean that billings declined). 
Commodities and Materials Pricing: Prices for aluminum, zinc, and nickel retreated as supply stabilized while demand softened; copper prices retreat continued after hitting an all-time high in May as inventory levels increased; fuel prices have risen due to summer travel. 
Supply Chain Trends: Skanska has consistently reported uneven recovery since the pandemic across various quarters. Most supply chains have now recovered, with lead times back to pre-pandemic levels and escalation rates returning to between two and four percent. 
 
To learn more about Skanska's work within science and technology, visit their website at https://view.ceros.com/skanska/skanska-science-and-tech/p/1. 
 
About Skanska 
 
Skanska is one of the world’s leading development and construction companies, shaping how people live, work, and connect using knowledge combined with foresight developed over its history spanning more than 135 years. It operates in selected markets throughout Scandinavia, Europe, and the United States, headquartered in New York City, boasting a presence in twenty-eight offices nationwide. U.S. construction generated $7.1 billion in revenue during 2023, whereas U.S. developer operations accounted for $4.6 billion in investments into commercial multi-family projects, garnering collective expertise from its global team comprising around six thousand five hundred teammates based in the US along with twenty-seven thousand teammates globally, creating innovative sustainable solutions supporting healthy living beyond our lifetime.