Construction Volume in $ Billions
After review of construction projects in the top ten markets (ranked by population), we have uncovered over $27 Billion in construction activity. Included in this number is any project under construction, or far enough along in the process to have been approved with a start date and projected completion date. New York City tops the list with $4.6 billion under construction – it is leading due to the $2 billion project to renovate Tisch Hospital and add the 830,000 square foot Kimmel Pavilion.
Trailing the group are Los Angeles and Philadelphia, both of which fall beneath the $1 billion threshold. About $7 billion of the current construction in the top ten metro areas is medical office, which comprises about 10 million square feet of new space in 124 buildings. Of those buildings, 94, or 76% are off-campus, supporting the trend of moving locations closer to the consumer/patient. With $7 billion of medical office under construction, the remaining $20 billion is new hospital construction or additions to existing hospitals. We are continuing to research the remainder of the country and so far we have found over 100 new and replacement hospitals in late planning or under construction, as well as over 200 hospitals adding additional square feet to their location. We’ll keep you posted as we find more and can share new stats!