Search
 

Labor Shortage Spikes Construction Costs

Evident in markets such as San Francisco and New York City for some time, the dearth of qualified workers “has now become a national issue,” says Julian Anderson of Rider Levett Bucknall.

By Paul Bubny | paulbubny | Updated on October 20, 2017

Julian Anderson of Rider Leavitt Bucknall Anderson: “Unless there’s a slowdown, at some point over the next 12 to 18 months it’s going to happen.”

NEW YORK CITY—The coming year or two could be a momentous time for the construction trades, and therefore the contractors that employ them and, in turn, the developers that hire the contractors. It’s within that time frame that the spikes in construction costs deriving from a chronic shortage of qualified labor could become more acute.

“It’s a trend that has been coming for some time and has been exacerbated in different locations, but has now become a national issue,” Julian Anderson, president of consulting firm Rider Levett Bucknall, tells GlobeSt.com. The current shortage—widely acknowledged in the construction industry—had its origins in the peak of the previous cycle, he says.

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?

NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2024 ALM Global, LLC. All Rights Reserved.