National report shows construction costs are finally leveling off in Phoenix metro
Jul 1, 2023, 7:15 AM
Although construction costs have spiked in the Phoenix metro in the past three years fueled by supply chain issues and other factors, it appears those prices are finally leveling off, according to a national report.
The study, from global construction advisory, cost and project management firm Rider Levett Bucknall (RLB) found that it was 7.58% more expensive to build in the Phoenix metro in April 2023 compared to a year earlier.
That figure ranks fifth among 12 major U.S. metro areas. Only Boston, Portland, Seattle and Chicago reported higher year-over-year increases on Rider Levett’s comparative cost index from April 2022 to April 2023.
On a quarter-to-quarter basis, however, Phoenix saw its comparative cost index fall each quarter from last summer. From January to April, Phoenix saw the comparative cost index fall from 1.6% to 1.36%, which is below the national average increase of 1.56%.