The modular construction industry was valued at nearly $68 billion in 2019. Experts predict that growth to climb enormously, reaching over $106 billion by 2027. These forecasts are backed by growing trends for commercial modular construction, residential modular construction and industrial modular construction.
As a leader in this industry, the team at VESTA Modular have assembled some meaningful modular construction statistics around the lightning fast growth of the market.
If your business is looking to expand without investing in the major costs of traditional construction, a modular construction solution may be just what you need. Contact VESTA Modular to learn more about what we provide.
Growth in the modular construction solutions industry is fueled by a few key differentiators.
Modular building solutions are popular because they offer:
Even if the modular construction project is completely custom, a modular building project can take 50% less time than traditional construction. This efficiency isn’t just about quick turnaround, it also means less time spent on construction sites, which is better for the environment.
These value drivers are just a few reasons this kind of construction is taking off. The market itself reflects the diverse industries that are benefitting from alternative construction methods.
Here are the latest worldwide trends that are impacting the global modular construction market:
In order of market share, the worldwide modular construction market is divvied up in these sectors:
Regionally, the Asia Pacific region is forecasted to see the fastest growth in modular construction, but Europe and North America are not far behind.
One reason the 2020-2021 time frame for modular construction saw such growth was due to the impact of COVID-19. Two key issues arose as a result of the pandemic:
The second issue caused a huge uptick in the sale of portables for schools and modular construction for hotels.
Funding opportunities also became available for certain sectors needing additional space including education. Learn more about how the CARES Act and FEMA are providing schools with resources to purchase modular classrooms and school portables.
While portable homes and shipping container apartments are certainly trending, the fastest-growing area of modular construction is for commercial buildings. This is first because of the immense cost-savings that commercial modular construction can provide.
A second reason for the increase in this construction method is improved customization and engineering, which unlocks new possibilities for the scale and branding of modular buildings.
Here are some examples of the fastest growing types of modular construction buildings for commercial use:
Innovations in everything from volumetric modular construction to permanent modular construction buildings have made the potential for this technique virtually limitless.
Here are some of the more outstanding ways that commercial modular construction companies are improving processes to support industry growth.
When parts of buildings are planned, designed and fabricated off-site, this can drastically reduce construction costs and timelines.
The wide scale acceptance of new construction techniques like this aligns well with existing modular construction methods.
Prefab modular buildings can be assembled in a factory and delivered to a construction site for assembly. This, again, cuts down on construction site time, staffing and ultimately reduces costs.
Off-site construction for commercial buildings, custom prefab offices and prefab construction for low-rise commercial buildings are all great ways that companies save time and money.
Modular construction methods that drastically improve site efficiency have the byproduct of diversifying job offerings. Instead of heavily manned, short-term crews, modular construction companies employ personnel in factories, for shipping, for assembly and more.
This diversification can support local economies in more than one area, which also enhances the reach of a construction company.
The scale of modular construction projects has changed. In 2017, the country of Qatar’s World Cup Stadium was entirely made of shipping containers. Stadium seating from shipping containers is also for sale through many modular construction companies.
Shipping container dugouts, shipping container concession stands and portable press boxes all reduce overhead and increase profit.
Future buildings do more than capture the imagination of forward-thinking architects and engineers: they spell new possibilities for profit structures and revenue.
Commercial companies that use modular construction have the ability to do more with less.
One area of development, known as “cargotecture,” takes building with recycled shipping containers to a whole new level. This is indicative of the many possibilities being imagined for modular construction.
As these modular construction statistics suggest, businesses in any industry can get in on the future by investing in modular construction. Of course, partnering with the right modular construction company is the most important decision.
VESTA Modular is one of the best. Our company has been thoughtfully designing, engineering and installing shipping container buildings and modular construction projects for years. We work with precision, providing ample customization and endless potential to construct modular buildings for businesses.
If you are in the market for a modular building, it is possible to buy or rent portables, or construct a structure from scratch. Our goal is to make it easy for you to benefit from the many advantages of a modular commercial building, without any of the hassle. Have a space or design in mind? Request a quote today.
Want to learn more? Read the Ultimate Guide to Understanding Modular Construction and Modular Buildings.