Americas Fit-Out Cost Guide 2022

CONSTRUCTION TIMELINES Cushman & Wakefield’s construction contractor sentiment survey indicates that material lead times and project execution timelines have increased over the last six months. Only 2% of contractors believe that lead times had remained constant; the remaining 98% of respondents believe lead times increased slightly (16%) or significantly (82%) over the previous six months. Project execution delays have been more contained; a fourth didn’t experience lead time increases at all. Only 14% indicate execution times have increased significantly and 61% believe timelines increased slightly.

LEAD TIMES ARE EXPECTED TO CONTINUE TO INCREASE IN THE NEXT SIX MONTHS Cushman & Wakefield Construction Contractor Sentiment Survey, Winter 2022

KEY TAKEAWAY Looking forward, construction contractors have similar expectations for project execution timelines, but are slightly more optimistic about the trajectory of material lead times. Half expect material lead times to continue to increase significantly and 12% expect no further growth. Experienced project development teams are required to ensure delays caused by material and labor challenges are planned for and mitigated.

Decreased Significantly Decreased Slightly No Change Increased Slightly Increased Significantly

100%

14%

16%

80%

52%

60%

82%

61%

57%

40%

36%

20%

25%

23%

16%

13%

0%

Material Lead Times

Project Execution Time

Material Lead Times

Project Execution Time

Past 6 Months

Next 6 Months

Source: Cushman & Wakefield Research

8 AMERICAS OFFICE FIT-OUT COST GUIDE 2022