What’s going on?
Off-site construction and other building component manufacturing practices have garnered growing interest from key players throughout the built environment. From companies such as Katerra, which raised more than $865 million in 2018, to Blokable, which raised $23 million in August of this year, dozens of prefab-focused startups have entered the space. Recognizing the time, cost, quality, and safety benefits of modular and other prefabrication techniques, even large companies such as Marriott have turned toward off-site construction for large-scale development.
While startups and other modular manufacturing companies look to disrupt the market, “traditional” construction companies have adapted by incorporating the growing prefab and modular trends into their own practices. Scott Root, Head of VDC & Offsite Fabrication for Kitchell, expressed how owners are helping drive the movement:
“Very few GCs are maintaining their schedules,” he said. “So savvy owners are pushing contractors to think about their jobs differently and create more predictable outcomes.”