The Design-Build Institute of America (DBIA), the only organization that defines, teaches and promotes best practices in design-build, has released new research findings indicating that for the first time more than half of projects above $10 million are being completed through design-build project delivery.
The newly released study confirms that the use of design-build has remained steady since its growth spurt at the end of the last decade, and also that Oregon and the Military sector are leading with the most dollars being spent on design-build projects.
“The growing use of design-build is not surprising,” says Lisa Washington, CAE, CEO/Executive Director of DBIA. “Throughout the last five years, and even through the recession, we’ve seen a large increase in demand for information and training on design-build best practices. Owners from all sectors have been turning to design-build delivery because they recognize the inherent value it brings to any project in any sector of any size.”
Shortly before the economic downturn a little over five years ago, the use of design-build spiked from 29% of the nonresidential market in 2005 to 36% in 2008. Throughout the recession period, design-build use continued to grow, and now with the economy stable and slowly recovering, the use of design-build has held steady at around 40% for the last three years.
RSMeans analyzed detailed data on nearly a million construction projects, state by state, and found that the West Coast is where design-build is the most prevalent. In fact, 70% of construction dollars being spent in Oregon are on design-build projects. California is the second highest at 59% and Washington the third highest state at 56%.
When looking at specific sectors, the military uses design-build on 81% of projects. However, even when military projects are taken out of the equation, Oregon is still the top state due to multifamily residential and industrial sectors’ preference for design-build. Those two industries also lift Michigan to the second place spot in the list of states doing the most non-military design-build.
“The Reed/RSMeans segmentation analysis now includes nine complete years of actual history, statistically supporting observation of trends at the state and industry sector segment levels,” says Tim Duggan, Director of Custom Solutions, Reed/RS Means, one of North America’s largest information providers to the design and construction industry.
RSMeans’ proprietary database of historical and planning construction projects data served as the basis for the study in addition to the incorporation of other publicly and privately available data sources. A copy of the full report, “Design-Build Project Delivery Market Share and Market Size Report,” is available on DBIA’s web site.
Related Stories
| May 1, 2012
Time-lapse video: World Trade Center, New York
One World Trade Center, being built at the site of the fallen twin towers, surpassed the Empire State Building on Monday as the tallest building in New York.
| May 1, 2012
Bruce E. Brooks Associates announces new commissioning subsidiary
Brooks + Wright Commissioning to be led by Will Wright.
| May 1, 2012
Gilbane to build $100 million cranberries manufacturing facility
Gilbane to provide design build services for a new Lean manufacturing facility for Ocean Spray Cranberries Inc., beverage products.
| May 1, 2012
Construction is underway on MLK ambulatory care center in L.A.
Featuring a variety of sustainable features, the new facility is designed to achieve LEED Gold Certification.
| Apr 30, 2012
Virginia Commonwealth unveils design for Arts Institution
Institute for Contemporary Art will serve as a catalyst for exhibitions, programs, research and collaboration.
| Apr 30, 2012
Summit Design + Build completes build-out for Office Concepts
The project is seeking LEED ID Silver certification from the U.S. Green Building Council.
| Apr 30, 2012
HSA Commercial selected as consultant for Orland Park’s Main Street Triangle project
HSA will be responsible for designing an overall mixed-use merchandise plan, attracting a unique retail tenant mix and completing leases with prospective tenants.
| Apr 30, 2012
Gilbane to manage retrofit of the Fraunhofer CSE R&B structure
Building is a first-of-its-kind research and demonstration building for sustainable technologies in Boston's Innovation District.
| Apr 30, 2012
KBE Building completes renovation at the ConnCAT
The $1.2 million project consisted of a 16,000-sf interior renovation.