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International Construction Costs 2017: Cost Certainty in an Uncertain World

This latest edition of our annual International Construction Costs report details the relative cost of building in 44 of the world’s major cities across 13 building types. The 2017 Report considers typical developments in city locations, and illustrates the significant product quality, supply chain and cost differential factors in popular cities around the globe, including New York, London, Geneva and Hong Kong.

David Hudd

Cost Consultancy Director

206 391 8831 Mail
New York City building construction

In an uncertain world, how can construction cost remain certain?

This latest edition of our annual International Construction Costs report details the relative cost of building in 44 of the world’s major cities across 13 building types. The 2017 Report considers typical developments in city locations, and illustrates the significant product quality, supply chain and cost differential factors in popular cities around the globe, including New York, London, Geneva and Hong Kong.

New York construction shows no signs of slowing down

The Big Apple is the most expensive place in the world to build. This trend is likely to continue into 2017 and beyond as large-scale construction projects and international investors drive development. New York is almost 50 percent more expensive in construction costs than the national average in the US, and more than 20 percent higher than other major cities like Chicago, Los Angeles, Seattle or Boston. San Francisco is the second most expensive city for hard construction costs, due to its equally cramped environment, the rigorous seismic requirements and competition for contractors. Meanwhile, Houston is a bargain, relatively speaking, as the city’s hard construction costs are currently 10 percent below the national average.

To control rising hard construction costs, constructability is key

Costs associated with constructing the infrastructure and buildings of tomorrow remain both varied and hard to predict. Shifting commodity prices, significant political moves and currency volatility add to the dynamic mix, resulting in complex investment decisions and the need for greater certainty of return.

Owners and developers will continue to chase return on investment, which will drive the need for sophisticated, innovative project management tools. Navigating the decision criteria and gaining a level of foresight and predictability will be increasingly hard, but valuable if we are to make the best cost and constructability decisions for our clients.

Arcadis Cost and Commercial Management expert, David Hudd takes the lead, across sector to find innovative, custom solutions to mitigate the rising hard construction costs. Read his perspective on how to make smart investments, with cost certainty to effectively manage risks, in an increasingly uncertain world.

Construction Costs in New York have increased by about 25% over the last 10 years. 

New York remains the most expensive place to build. To control rising hard construction costs, constructability is key. Watch our "Why is New York so expensive to build in?" video with David Hudd, Cost and Commercial Management Director.

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David Hudd

Cost Consultancy Director

206 391 8831 Mail

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International Construction Costs Report 2017

Cost Certainty in an Uncertain World

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