According to the Commercial Construction Index, demand for modular construction is increasing, and industry insiders see it as a major growth area.
Modular building uses premanufactured or preassembled building components that are constructed off site, in a factory, yard, or warehouse, and then transported to the jobsite as a unit. They meet the same specifications as on-site work, but they have many added benefits.
In the last five years, modular construction has doubled in revenue, up to $8 billion. Previously, interest in modular products was due to increased product cost and speed. Now, with both labor shortages and ever-increasing costs of raw materials, there is an even bigger push for anything that increases profitability.
According to ArchPaper, “The CCI study found that more than 70 percent of surveyed contractors reported eight clear benefits of modular construction: increases in efficiency, productivity, safety, and quality; reductions in risk, cost, material waste, and construction times—an particularly important benefit for revenue-earning buildings whose owners want to start collecting rent as soon as possible.”
The non-profit Modular Building Institute points to another main benefit that looms in the future: in a time where skilled labor is hard to come by, modular construction can be automated and industrialized.
The most successful modular construction project could be the CitizenM hotel in New York City, a 21-story building composed of 210 modular units, each one housing two hotel rooms.
To read more about modular architecture and its growth in the industry, check out ArchPaper.