Market Snapshot: Office (Part 1)

Market Snapshot: Office (Part 1) 

Weekly market intelligence data and insights for AE firm leaders.

Introducing the Market Snapshot series. This will include sector-specific market intelligence data and insights to help AE firm leaders stay informed. 

Overview

• The office category of construction primarily includes administration buildings, computer centers, office buildings, and professional buildings.
  • Approximately 86% of total office construction is private. 
  • Government-owned buildings include city halls, courthouses, state capitols, and other municipal buildings.

Market Size*: $86.0 billion
*Based on Value of Construction Put in Place (CPiP) – 2022 preliminary estimate (U.S. Census Bureau)

Outlook

• The market for office building design and construction is expected to decline in 2023. 
• The increase in remote work and hybrid arrangements is driving office vacancies. However, it will increase demand for redesigns and improvements favoring collaboration, space sharing, energy efficiency, and well-being.
• Changing occupancy patterns (e.g., days of the week) may impact building operations and maintenance needs.

In next week’s issue, we’ll look at trends and hot spots for this sector. To learn what’s ahead for other markets, don’t miss our January 24 online event: Morrissey Goodale’s 2023 Market Outlook for the AE Industry. Click here for details and registration.

For customized market intelligence and research, contact Rafael Barbosa at [email protected] or 972.266.4955. Connect with him on LinkedIn.