COVID-19: Most multifamily contractors experiencing delays in projects due to coronavirus pandemic

By ROBERT CASSIDY, EXECUTIVE EDITOR

April 5, 2020
2 min read
NMHC survey of multifamily GCs delays

Washington, D.C., April 3, 2020 – More than half of respondents (55%) to a new survey on multifamily construction by the National Multifamily Housing Council (NMHC) said that they were experiencing construction delays in the jurisdictions where they operate.

The NMHC Construction Survey is intended to gauge the magnitude of the disruption caused by the COVID-19 outbreak on multifamily construction. The survey, which had 135 respondents, also determined that:

  • Of the 55% experiencing delays, 76% were dealing with delays in permitting and 59% in starts
  • About a quarter (24%) of respondents said a lack of materials was affecting their construction operations
  • 41% of respondents said that COVID-19 outbreak-related labor constraints were affecting construction operations

 

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The NMHC found that the majority of the 135 multifamily contractors surveyed had experienced delays with apartment or condominium projects due to the COVID-19 pandemic.

 

NMHC survey - moratorium delay
More than three-fifths (62%) of respondents said they had been delayed due to construction moritoriums.

 

MULTIFAMILY CONTRACTORS TRYING NEW STRATEGIES TO COPE WITH COVID-19 IMPACT

The NMHC Construction Survey also found that nearly three-fourths (73%) of construction firm respondents said that they have implemented new strategies to deal with the hurdles caused by the pandemic. These include sourcing materials from alternative locations (43%), staggering shifts to reduce on-site exposure (52%), and using technology to replace in-person transactions like inspections and approvals (67%).

 

NMHC survey - new GC strategies for coping
The NMHC survey found that multifamily contractors had adopted many new strategies for coping with delays in work due to the coronavirus pandemic. Note: Respondents could check multiple items for this question.

 

NMHC will conduct this survey on a bi-weekly basis to provide an estimation of the impact of COVID-19 on multifamily construction. Additional NMHC-produced resources focused on the COVID-19 outbreak can be found here.

 

ABOUT THE NATIONAL MULTIFAMILY HOUSING COUNCIL

Based in Washington, D.C., the National Multifamily Housing Council (NMHC) brings together the prominent apartment owners, managers, and developers in the trillion-dollar apartment industry who provide apartment homes for 40 million Americans. For more information: 202/974-2300, e-mail the Council at [email protected], or visit NMHC's website: https://www.nmhc.org/.

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