AIA: Strong Growth in Nonresidential Building Spending Projected for 2023; Slower Gains Predicted for 2024
The American Institute of Architect’s (AIA) Consensus Construction Forecast panel has optimistic projections for nonresidential building spending in late 2023 and beyond, and the news is generally positive – with a caveat. The panel—comprised of leading economic forecasters—is projecting that spending on buildings will increase by 20% this year—a torrid pace not seen since the construction boom years leading up to the Great Recession.
“The forecast for nonresidential construction activity remains healthy through the second half of 2023 and into 2024,” says AIA Chief Economist Kermit Baker, PhD, Hon. AIA. “The industry got off to an extremely strong start in the first half of the year, and that momentum will ensure healthy gains for the year before moving to a much more moderate pace of expansion in 2024.”