Global Building Stock Will Expand by 24 Percent by 2023, Forecasts Navigant Research
Growth in developing countries will continue at a healthy rate, report concludes
BOULDER, Colo.--(BUSINESS WIRE)--Driven by accelerating urbanization, particularly in the developing countries of Asia Pacific and Africa, the global building stock is expected to grow strongly over the next 10 years. Construction markets, while still recovering from the 2008-2009 recession, continue to add new commercial and residential floor space to the world’s buildings. Click to tweet: According to a new report from Navigant Research, the global building stock will grow from 138.2 million square meters in 2013 to 171.3 million in 2023 – an increase of 24 percent.
“The commercial and residential segments will experience compound annual growth rates over the next 10 years of 2.1 percent and 2.2 percent, respectively.”
“Economic growth in developing countries like China and India is slowing but remains robust, and the rising middle classes in these countries demand a higher quality of life, including improved working and living spaces,” says Eric Bloom, principal research analyst with Navigant Research. “The commercial and residential segments will experience compound annual growth rates over the next 10 years of 2.1 percent and 2.2 percent, respectively.”
China’s construction boom has fueled extraordinary growth in that country’s building stock, with nearly 2 billion square meters added every year. Although there is much discussion today about the boom turning into a bubble, Navigant Research expects growth to continue at a healthy rate of 4.2 percent a year. By 2023 China will have 58 billion square meters of building space, according to the report – more than one-third of the world’s total.
The report, “Global Building Stock Database”, provides data on the size and growth of the global building stock from 2013 to 2023. It examines the key drivers and trends related to the building stock and an explanation of the methodology used to build the data set. The building stock data covers eight commercial building types (office, retail, education, healthcare, hotels & restaurants, institutional/assembly, warehouse, and transport) and two residential building types (single-family detached and multi-unit residential) for seven regions worldwide. This report is intended to provide a comprehensive picture of the global commercial and residential building stock. An Executive Summary of the report is available for free download on the Navigant Research website.
About Navigant Research
Navigant Research, the dedicated research arm of Navigant, provides market research and benchmarking services for rapidly changing and often highly regulated industries. In the energy sector, Navigant Research focuses on in-depth analysis and reporting about global clean technology markets. The team’s research methodology combines supply-side industry analysis, end-user primary research and demand assessment, and deep examination of technology trends to provide a comprehensive view of the Smart Energy, Smart Utilities, Smart Transportation, and Smart Buildings sectors. Additional information about Navigant Research can be found at www.navigantresearch.com.
Navigant is a specialized, global expert services firm dedicated to assisting clients in creating and protecting value in the face of critical business risks and opportunities. Through senior level engagement with clients, Navigant professionals combine technical expertise in Disputes and Investigations, Economics, Financial Advisory and Management Consulting, with business pragmatism in the highly regulated Construction, Energy, Financial Services and Healthcare industries to support clients in addressing their most critical business needs. More information about Navigant can be found at www.navigant.com.
* The information contained in this press release concerning the report, “Global Building Stock Database,” is a summary and reflects Navigant Research’s current expectations based on market data and trend analysis. Market predictions and expectations are inherently uncertain and actual results may differ materially from those contained in this press release or the report. Please refer to the full report for a complete understanding of the assumptions underlying the report’s conclusions and the methodologies used to create the report. Neither Navigant Research nor Navigant undertakes any obligation to update any of the information contained in this press release or the report.