www.REBusinessOnline.com August 2023 • Volume 21, Issue 12 BUILDERS LEVERAGE TECH TOOLS, SOFT SKILLS TO DRIVE EFFICIENCIES Today’s general contractors engage with clients earlier in project cycle, rely on virtual modeling more frequently. By Kristin Harlow sk general contractors what the biggest challenge the industry faces today, and they will say uncertainty. Wild cards such as in a-tion, interest rates, of ce occupancy and the threat of recession cloud the near-term outlook. That said, the state of the general contracting industry is much stronger than it was a year ago, according to Jason Bretz, senior vice president with Tarlton Corp. The St. Louis-based rm expects this year’s revenues to A be around $210 million, up about $15 million over last year. “Overall, construction costs con-tinue to be a signi cant issue, but we have seen less volatility in the sup-ply chain and materials prices,” says Bretz. “Recent news about slower in-ation and the potential for modera-tion in interest rates should be a boost for the industry.” In ation was at a 3 percent annual rate in June, according to the Bureau of Labor Statistics’ Consumer Price In-dex (CPI). The CPI is at its lowest level in more than two years. “Clients are looking to get started as soon as their nancing is in place, and they are not shy about doing mul-tiple projects at once to obtain speed to market,” says Ira Singer, founding partner of Northbrook, Illinois-based Mosaic Construction. Singer says his rm is nding de-sign-build opportunities in sectors like cannabis, coworking, boutique commercial, retail, hospitality, enter-see BUILDERS page 16 Skender is building 741 North Wells, a 21-story apartment tower in Chicago. INDUSTRIAL DEVELOPERS GO BEYOND THE BIG BOX By Kristin Harlow Business park designs increasingly incorporate amenities, landscaping and access to retail as users focus on employee retention. I HSA Commercial Real Estate is nearing completion on Terminus at Hobbs Station, a two-building speculative development in the Indianapolis suburb of Plain eld. t’s not just the big box anymore, says Josh Goodman, project direc-tor with St. Louis-based HDA Ar-chitects. What Goodman means is that to-day’s industrial tenants seek more than simply a warehouse. They look for of ce build-outs, natural light, amenities and other features that will aid in their employee recruitment and retention efforts. In this article, Heartland Real Estate Business presents case studies in in-dustrial business park design and development. Experts across several Midwest markets share updates on their latest projects as well as their as-sessments of the pace of industrial ab-sorption, construction costs and ten-ant requirements. Somers Trade Center As of June, Stream Realty Partners was underway on the site clearing for Somers Trade Center, a 934,505-square-foot speculative industrial develop-ment consisting of three buildings in Kenosha, Wisconsin. Stream is work-ing on sourcing construction nanc-ing and procuring all ancillary per-see INDUSTRIAL page 18 Cleveland Gets Apartment Construction Boom page 13 Communication Impacts the Multifamily Resident Experience page 20 Annual Economic Development Corporation Supplement page 21
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