San Francisco ranked the world's most expensive city for construction
San Francisco ranked the world's most expensive city for construction
Abstract
Aside from San Francisco, New York City ranked fourth, Boston ranked eighth and Los Angeles ranked ninth, per the report. Large shifts in North American markets were driven primarily by the strengthening of the U.S. dollar, higher building material costs driven by supply chain disruptions and high labor costs, according to a press release. Dive Insight: Amid several major disruptions to the world economy such as the war in Ukraine and COVID-19 related lockdowns in China, construction markets around the world are feeling the heat. The report noted that 38.6% of markets surveyed were classified as "Hot" or "Overheating", where conditions are deemed at risk of acting as a brake on development, according to the release. Per region, North America had the largest rebound, according to the release, and had seven overheating markets, up from zero in 2021. In this year's survey, 79.6% of markets were experiencing skills shortages and 15.9% markets were in balance. Only 4.5% of markets had a surplus in construction labor, according to the release.