R
ider Levett Bucknall's latest Crane Index and Quarterly Cost Report provides insights into the North American construction industry across 14 key markets. The report reveals that national average construction costs rose by just 1.07 percent in mid-Q3 2024, the lowest increase in three years.
Boston, Denver, Honolulu, New York, Seattle, and Washington D.C. saw higher increases than the national average, while Chicago, Las Vegas, Los Angeles, Phoenix, Portland, and San Francisco experienced lower gains. According to Paul Brussow, President of RLB North America, "The trend of construction cost inflation continues to decline, with this quarter's rate being the lowest in three years."
The recent interest rate cut is expected to positively impact the construction industry, particularly the private sector, as it may encourage investment in new projects for 2025. Key findings from the report include:
* Calgary, Chicago, Honolulu, Las Vegas, Phoenix, Toronto, and Washington D.C. saw an increase in crane counts.
* Denver, Los Angeles, and New York City maintained steady crane counts.
* Boston, Portland, San Francisco, and Seattle experienced a decrease in crane counts.
The Quarterly Cost Report also notes that the U.S. national average construction cost increase is approximately 1.07 percent compared to 4.91 percent year-over-year. The construction unemployment rate has decreased by 0.7 percent from last year's same period, reaching 3.2 percent.
