The global recession knocked down building costs in many Asian countries in 2009, but inflation appears to be making a modest comeback in the region this year. The London-based international cost consultant Gardiner & Theobald Inc. reports that building costs in Shanghai declined 3.4% in 2009 after increasing about 7% in both 2007 and 2008. This year, building costs in Shanghai increased 1.4%, says G&T.
In Hong Kong, G&T saw building costs fall 3.7% in 2009 after posting double-digit gains during each of the previous two years. In 2010, building costs in Hong Kong were back up 4.8%, says G&T. The firm reports a similar trend in Japan.