Positive outlook as pandemic winds down
The pandemic has affected virtually everybody and everything–including the construction industry. About one year after the viral outbreak turned the world on its head, vaccination rates are rapidly rising, infection levels are decreasing, and the goal of herd immunity is looming in the not-so-distant future.
With the pandemic hopefully on its last legs, there has been much talk about the “new normal,” a concession that there will be lingering, perhaps permanent after-effects. So, what might the regional construction industry look like post-COVID?
Temperature checks, social distancing, and most of the other health and safety protocols that construction sites have adopted will go away. But, according to Local 12 Business Manager Tim Fandel, it’s likely that the sanitizing stations will remain long after the threat of the virus has passed.
Soon after the outbreak shuttered many building projects, Local 12 plumbers were among the first to return to install hand-washing sinks with hot water hookups. At some larger sites, they also installed temporary, functioning toilets to replace porta potties.
“They’re easy to install, it’s a simple change, and they improve health,” Fandel says about the sinks and toilets. “General contractors realize the value of having them, and workers really appreciate them.”
Fandel also believes that the nurses that have become embedded at larger construction sites may remain permanent fixtures. Fostered by the pandemic, they could be part of an overall greater commitment to safety and health. John Cannistraro, Jr., president of GBPCA contractor J.C. Cannistraro, agrees.
“Onsite safety has improved. It’s top of mind for everyone,” he says.
Just as the pandemic has caused those in the construction industry to rethink health and safety measures, it has forced everyone, including owners, developers, general contractors, architects, and engineers, to step back, reevaluate everything they are doing, and perhaps consider different ways they might work together. Cannistraro thinks that people are now more open to new ideas.
“We’ve all experienced the horror of the pandemic,” he says. “Coming out of it, people are more willing to work as a team. There’s a sense that we’re all in this together.”
As an example, Cannistraro says that his company has been brought in during the pre-construction phase to help shape the architectural and structural design of a project. “It’s an opportunity to advance the industry by reemphasizing our professionalism and demonstrating that skilled labor has a role in reshaping the new economy,” he adds.
Owners and developers recalibrate
While those designing and building projects rethink how they will get the work done, the pandemic may have influenced what type of projects they will be constructing post-COVID. The demand for office buildings, for example, has cooled. With many office employees now working out of their homes, it’s likely that they will use a hybrid model and split their time between their home offices and their company offices when they do return to work.
The demand for luxury condos, another sector that has been fueling the red-hot construction market, has softened a bit as well. But many believe it may just be a momentary blip, as sales and interest have picked up recently. Regardless of the pandemic, the Boston area’s fundamentals remain sound. Higher education, healthcare, and research continue to drive the economy, and the housing supply is limited.
To that end, there is great demand for life science construction projects that is offsetting the reduced demand for new office buildings. And there is an insatiable demand for affordable housing. Fandel adds that bellwether projects in the pipeline, such as Cambridge Crossing, the tower at South Station, Suffolk Downs, and multiple projects in the Seaport, are moving forward and are indicative of the many opportunities that lie ahead. “I’m bullish on the industry and employment for our members,” he says.
Cannistraro is equally optimistic, noting that some of the recalibration in the types of projects getting greenlit may be due as much to the cyclical nature of the construction industry as to COVID. “We are busier than we’ve ever been as far as potential opportunities in a lot of different sectors.”