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Multi-Family Housing Green Buildings Global Market Report 2020-30: Covid 19 Growth and Change

Multi-Family Housing Green Buildings Global Market Report 2020-30: Covid 19 Growth and Change

  • July 2020
  • 200 pages
  • ID: 5935474
  • Format: PDF
  • The Business Research Company


Table of Contents

Major players in the multi-family residential green buildings market are Turner Construction Co., Clark group, AECOM, Swinerton, Hensel Phelps, Skansa, Lendlease, Holder Construction, Webcor, and Walsh group.

The global multi-family residential green buildings market is expected to decline from $47.5 billion in 2019 and to $45.01 billion in 2020 at a compound annual growth rate (CAGR) of -5.2%. The decline is mainly due to economic slowdown across countries owing to the COVID-19 outbreak and the measures to contain it. The market is then expected to recover and reach $53.8 billion in 2023 at a CAGR of 6.1%.

The multi-family residential green buildings market consists of sales of multi-family residential green buildings and related services for occupation or rentals by households. Green construction refers to the practice of using sustainable building materials and construction processes to create energy-efficient buildings with minimal environmental impact, throughout a building’s life-cycle from siting to design, construction, operation, maintenance, renovation, and deconstruction.

On 17th Oct 2018, Structure Tone Inc., a New York-based green construction company, has acquired Ajax Building Corporation for an undisclosed amount. The acquisition was aimed to help Structure tone expand construction services to a global base and this acquisition expands its reach into the southeast US. Ajax Building Corporation is a construction company that offers services to build design, construction management, and building information modeling.

The multifamily housing green buildings market covered in this report is segmented by type into new constructions; remodeling projects.

Higher costs hinder the buyer and the supplier to invest more in Multi-family residential green buildings. Green buildings cost higher than conventional homes and requires more initial investment. High costs to construction firms would result in high costs to the buyers. As per a report of the National Association of Home Builders (NAHB) in 2017, building green homes costs 5% to 10% more than traditional homes to the builders. However, more than one-third of the remodelers reported costs higher than 10%. In addition to this, the majority of owners rent these homes and the renters enjoy the benefits of a green home for no additional premium. This perception is further restraining the homeowners to expend more on green buildings.

Consumers and Builders are targeting towards achieving more sustainable homes with a focus on minimizing carbon footprint by promoting self-sustainable homes, termed as Net-zero homes. A Net Zero home produces energy through various domestic renewable energy technologies such as solar panels, micro wind turbines, sinkholes, compost gas for its requirements. It aims to produce at least as much energy as it consumes. According to a report from the National Association of Home Builders (NAHB) in 2017, the number of builders reporting to have built net-zero homes has increased from 21% in 2015 to 29% in 2017. Around 36% of multi-family home builders are building their homes green, 80% of them are dedicated green home builders with more than 90% of their projects green. The green builders are expected to grow to 47% by 2022 and are investing more in this segment. These statistics show us an increasing trend of Net-zero homes in the Residential construction market.

Customers are more informed of the benefits and cost savings in the long run from sustainable and net-zero homes. Homebuyers are now well informed and are acknowledging the reference to healthier homes, quality construction, and high performance. As per a report by The National Association of Home Builders’ (NAHB) authoritative in 2017, multi-family builders and remodelers said operating efficiency and long-term utility cost savings are the reason customers are convinced to invest in green construction of homes. Therefore customer awareness on factors such as environmental impacts, sustainability, and long term cost savings is driving the growth of the Multi-family residential green building market.

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