According to ConsTrack360’s, prefabricated construction industry in United States is expected to grow by 8.8% to reach USD 146,700 million in 2024.

The medium to long-term growth story in United States remains intact. The prefabricated construction industry in United States is expected to grow steadily over the next four quarters. The growth momentum is expected to continue over the forecast period, recording a CAGR of 8.4% during 2024-2028. The prefabricated construction output in the country is expected to reach USD 202,726.5 million by 2028.

The prefabricated construction industry is poised to record strong growth over the medium term in the United States. To tap into the high-growth sector, global firms are entering into strategic partnerships to build and distribute factory-built homes. ABJA Ohana LLC, for instance, entered into a strategic alliance with TLC Modular Construction LLC, the Vietnam-based factory-built housing provider, in December 2023.

Global firms, like MMY Global, are also investing millions of dollars to set up their manufacturing facilities in the North American market. This is part of their strategy to tap into the high-growth industry over the medium term. Domestic firms, on the other hand, are announcing grants to support modular housing development in the United States. Overall, ConsTrack360 maintains a positive growth outlook for the industry over the next three to four years.

Global firms are collaborating to build and distribute factory-built homes in the United States

The prefabricated construction market is poised for accelerated growth over the medium term. To tap into the high-growth industry, global firms are entering into strategic partnerships to develop and distribute their modular homes across the 50 states.

  • ABJA Ohana LLC, in December 2023, entered into a strategic alliance with TLC Modular Construction LLC, the Vietnam-based factory-built housing provider. Under the alliance, ABJA Ohana LLC has secured an exclusive distribution agreement. The two firms have partnered to develop, market, and distribute premium quality homes and apartment buildings in the United States. The two firms, notably, will operate as TLC Modular USA Inc.

    The firm has announced that it has received more than US$24 million in orders for 2024. These orders include a 58-unit apartment building in Honolulu, Hawaii, 169 single-family homes in Riverside, California, and 121 units in Desert Hot Springs, California. The entry of global firms into the domestic market is, therefore, expected to drive the competitive landscape in the fast-growing industry over the medium term.

    Prefabricated construction firms are announcing grants to support modular housing development

    Mighty Buildings, a modular construction firm based in the United States, has partnered with Lawrence Berkeley National Laboratory and Habitat for Humanity to announce a US$5 million grant aimed at developing sustainable and affordable housing in the San Francisco Bay Area.
  • The grant, known as GFO-22-305, comes from the California Energy Commission. This grant will fund the development, testing, and demonstration of zero-carbon or near-zero-carbon, cost-effective, modular homes. This project will involve building three prefabricated low-carbon townhouses in Bay Point, California, to benefit low-income families through Habitat for Humanity.
  • Mighty Buildings will use its 3D printing technology, which includes its proprietary stone-like LUMUS material, robotics, and automation, to construct the homes at their Oakland factory. The homes will then be assembled on-site. These prefabricated units are expected to be built much faster than traditional methods, potentially allowing for the construction of 20% - 30% more housing units.
  • The project aims to explore several possibilities, including advanced off-site 3D printing techniques and new energy-efficient panels, which are expected to achieve the highest level of off-site completion in the industry so far. It will also introduce a new energy and manufacturing cost model developed by Lawrence Berkeley National Laboratory (LBNL). This model could be used for future projects involving prefabricated, modular, and panelized construction solutions.

    Mighty Buildings targets to develop complete carbon-neutral houses by 2028. The firm, in September 2023, completed a US$52 million funding round led by Wa’ed Ventures, bringing its total funding to US$150 million since its inception in 2017.

    Global firms are setting up manufacturing facilities to tap into the growing United States market

    With the market poised for accelerated growth over the next five years, United Kingdom-based prefabricated construction firms are planning to expand their manufacturing capabilities in the United States. As a result, firms are investing millions of dollars into the development of new facilities.
  • MMY Global, based in the United Kingdom, announced that the firm is investing US$6.1 million to set up a manufacturing facility in West Louisville, in the United States in February 2024. This is the first manufacturing unit for the UK-based firm in the United States.

    The firm, notably, has received a grant of US$500,000 from the Louisville Metro Government to open the facility on Beech Street. With the new manufacturing facility, the firm will be able to produce up to 500 units per year, having an opportunity to grow this to 1,000 units annually. The production, at the Louisville facility is expected to commence later in 2024.

    This market intelligence report from ConsTrack360 provides a detailed view of market opportunities in the prefabricated building construction industry with over 100+ KPIs, covering end markets, prefabricated/precast materials, and products in United States. This is a databook offering, which primarily provides data-centric analysis with charts and tables.
  • End Market Dynamics: Provides a comprehensive data-centric view of size and structure, industry dynamics, and end market opportunities in the prefabricated industry in United States.
  • Prefabricated Methods: Provides an in-depth analysis of industry across 3 methods- panelised construction, modular (Volumetric) construction, and hybrid (Semi-volumetric) construction in United States.
  • Prefabricated Materials: Provides demand analysis across 7 key materials such as aluminum, wood, iron & steel, concrete, glass, and other.
  • Prefabricated Products: Provides demand analysis of market by 7 key products such as building superstructure, roof construction, floor construction, interior room modules, exterior walls, columns & beams, and other.

    ConsTrack360’s research methodology is based on industry best practices. Its unbiased analysis leverages a proprietary analytics platform to offer a detailed view on emerging business and investment market opportunities.