Texas & Louisiana City Scoop: Construction Starts in Austin
Value of new contracts expected to fall 7% in 2021 after tumbling 21% last year
The non-residential sector is poised for gains, while residential and nonbuilding work declines.
City Grill
Phil Thoden
President and CEO
Associated General Contractors, Austin Chapter
“While COVID certainly slowed the Austin construction economy—as it did throughout the country—many major projects continued to rise throughout 2020, including the Austin FC soccer stadium, now known as the Q2 Stadium, the Apple campus expansion, several mixed-use and residential projects downtown as well as expansion of the University of Texas football stadium and the new Moody Arena sports and entertainment venue on campus,” Thoden says. Construction also began late last year on the new Tesla factory, which is slated to begin producing Cybertrucks as early as the fourth quarter of 2021. “This massive investment in electric vehicles is expected to spin off new construction here for many related companies in this innovative business sector,” Thoden adds.
The city of Austin reported that it passed 1 million residents in 2020, and by 2030, the city’s population is expected to hit 1.15 million—and the greater Austin area will push that to nearly 3 million. As a result, demand for related construction—multi-family, health care, retail and schools—will remain strong in 2021 and beyond, he says.
