JLL’s H2 2020 Construction Outlook.
Prior to the onset of the pandemic, the construction industry was on a path of slow, steady growth across most sectors in 2020. Early cracks in that growth began to show in 2019, as private construction spending slowed for the first time since the last recession, but overall forecasts remained stable. The pandemic scrambled all expectations and forced a complete reset in forecasts.
Looking ahead, JLL’s new forecast combines a range of possible scenarios, broken into individual periods of the crisis and recovery.
JLL’s report forecasts the following for 2020:

• The first half of 2020 brought a torrent of unexpected challenges for the construction industry.

• Nonresidential construction is expected to decline 10 to 15 percent in 2020.

• National average construction costs have already declined slightly from the start of the year, due to decreased prices of some construction inputs and more aggressive bidding from contractors.

• Recovery in the construction industry will be uneven across sectors until the health concerns of the pandemic are resolved.

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