United States Commercial Construction Market

United States Commercial Construction Market Size Report – In a Glance

As per the survey report on United States commercial construction market, the market is expected to foresee a CAGR value of 4.3% during 2025-2035, and further generate a market size of USD 825.9 billion by the end of 2035. In 2025, the market size was value at USD 570.3 billion revenue.

• The United States commercial construction market’s growth is driven by rising demand for efficient commercial infrastructure.
• KDMI analyst’s growth analysis foresees technological advancement and sustainability trends as the growth drivers for United States commercial construction market.

United States Commercial Construction Market Analysis

Commercial construction is the non-residential construction that includes planning and building of structures for businesses, public, and industrial use such as offices, retail centers, hotels, hospitals, and much more. Commercial construction is a complex process than residential construction, as it involves larger scales, stricter regulations, specialized materials, and project management system to support economic activities. The United States commercial construction market growth is driven by rising demand for efficient commercial infrastructure and reduce operational complexities. The statistics report shows, 82% of US construction firms have an AI strategy, which helps to plan and execute projects to enhance efficiency and safety. Also, the US needs over 4 lakh construction workers to meet increasing demand for construction, restoration in 2025. Holder Construction Group, Kiewit Corporation, and Balfour Beatty LLC are some of the significant participants in the United States commercial construction market.

United States Commercial Construction Market Growth Drivers and Restraints

Growth Drivers

• Urbanization and rising demand for modern commercial spaces – The United States commercial construction market growth is influenced by rapid urbanization and population growth in the cities. As the population rises the demand for modern commercial infrastructures like offices, complexes, hotels, shopping malls, and others rises with the growing application of innovative solutions in development process. With the continuous advancement in construction sector, the individual preference has shifted towards flexible workspaces, co-working hubs, and retail centers which includes shopping, dining, and entertainment spaces to attract individual attention. Moreover, supportive policies by government help in increasing investment for hospitality and tourism sectors, which play major role in driving demand for smart commercial infrastructures. The growing demand for advancement and smart development for multifunction spaces emphasizes developers to invest in large-scale projects across the region.
• Technological advancements and sustainability trends – The United States government is quick to adopt smart building technologies and promote green construction practices, that drives the US commercial construction market. Commercial infrastructure developers are increasingly integrating advancements such as internet of things (IoT), energy-efficient systems, and smart lighting into large-scale projects which ensures efficiency and meet environment standards set by regulatory body. Also, the increasing preference for sustainable solutions and materials in construction activities are gaining popularity leading to implementation of renewable energy solutions.

Restraints

• High costs and regulatory complexities – The major restraint for the United States commercial construction market is high costs associated to materials, land, labor, and other assets which can result in increases of overall project development price. Also, the construction sector is highly regulated by governing body, safety standards, environment concerns, and more which may discourage developers to adopt innovative solutions and it impacts the market reach. Rising interest rates and financial challenges limits investment opportunities and delay in completion of projects, which slowdowns the market growth.

United States Commercial Construction Market Segmentation

Our experts at KD Market Insights have segmented the United States commercial construction market research report as:

Analyst’s Observation on United States Commercial Construction Market Recent Developments

Over the years, the experts at KD Market Insights have been observing the recent developments associated with United States commercial construction market trends. Our expert’s market forecast analysis has recorded the market players adopting plentiful of key strategies including new product launches, mergers & acquisitions, and collaborations.

QBE North America has announced the launch of a new Commercial Property product that offers coverage solutions for large companies across the United States. The product is designed to provide all-risks coverage on a shared and layered basis, including primary, quota-share, buffer, and excess positions.

Owens Corning and Masonite International Corporation has announced the partnership under which Owens Corning will acquire all outstanding share of Masonite for USD 133.00 per share in cash. This partnership is aimed to strengthen company’s position in building materials and offering high value products.

United States Commercial Construction Market Competitive Landscape

Some of the significant participants who top the United States commercial construction market share:

• Balfour Beatty LLC
• Gilbane Building Company
• Hensel Phelps Construction Co.
• Hochteif Construction
• Holder Construction Group
• Kiewit Corporation
• MA Mortenson Company
• McCarthy Holdings Inc.
• PCL Constructors Inc.