It’s getting expensive out there. As the economy reopens and businesses start gearing up again, demand for construction materials has shot through the roof. Steel prices alone have increased 91% since Q4 2020. Demand for basic construction materials far outweighs supply, and many project owners are seeing the cost of construction blow way past their original budget projections.

The pain is real. Writing in Construction Dive, Jen A. Miller reports that skyrocketing lumber costs are making residential projects much more expensive, too:

The National Association of Home Builders reported that lumber costs are adding an average of $36,000 to new single family home prices. Those prices have also added $12,966 to the value of an average new multifamily home. As those are typically built to rent, that in turn is adding $119 a month in rent to new apartments.

These same cost impacts are hitting commercial construction projects, which result in higher lease rates for potential tenants.  Leon Williams Contractors, a Maryville construction expert, is dedicated to helping our clients get the most value for their money. We combat price creep through our value engineering services. Every client deserves our honest appraisal of design complexity and the materials being used to build a structure. To help find more economical solutions that provides the same quality, we might:

• Look for different materials and structure designs to reduce costs.
• Substitute fixtures and finishes to be more economical but still meet client needs.
• Point out features that have little benefit but can result in added costs and completion delays.
• Even positioning the building differently on a site can have a ripple effect on the cost of grading, utilities, sidewalks, parking, etc.

Overly complex designs that rely on costly materials can break the bank in the current environment. We’ll use our value engineering techniques to make sure your project is providing the most value for the expenditure without ever sacrificing quality. If you want to learn more about how we can help, contact Leon Williams today.