The construction cost index used by Arcadis covers up to thirteen types of buildings and the method of ranking relied on costs representative of local specifications which were used in order to meet the different market needs. A lot of countries all over the world are currently experiencing major economic upturns and as per Arcadis, this is expected to lead to an increase in demand in the construction field.
Construction Index for Real Estate Prices in Singapore
After a couple of tumultuous years, the Singapore construction market is again steadily picking up. The decline in the construction was caused as a result of a slow economy and an over-supply that could not match the available demand. However, this has since been solved after several years of trying to correct the mess. At the moment, the demand is much higher. There has been a massive change in the construction market and the cost levels of construction are no longer declining.
Real estate Construction Cost in Singapore
Arcadis has also forecasted that the cost of construction in Singapore is expected to move by between negative one percent and positive two percent in 2018. It noted that the large demand by the public sector will still remain as the main contributor. Arcadis said that its research forecasts indicate that the public sector will account for almost sixty percent in demand.
According to Sze Khoo Boon, Arcadis’ executive director and also the head of cost management and quantity surveying, the last decade has seen Singapore maintaining more than S$20 billion when it comes to construction demand and this has resulted to stability in the construction sector.
Modern Technology use in Construction Real Estate Singapore
Sze Boon said that innovation and the use of ultra-modern technology have had a significant improvement in this sector. He went ahead to add that the adoption of technology in the construction industry, as well as digitalization, have transformed the construction sector and this has helped to create an industrial environment that is highly sustainable and more productive. Khoo Boon noted that the major key to this journey of transformation is by equipping workers in the construction field with new skills.