Hong Kong and Macau are Asia’s most expensive construction markets: Turner & Townsend

An international market survey of the building and construction market released by Turner & Townsend discloses that Hong Kong and Macau are Asia’s most costly construction markets to build this year.

Tokyo and Osaka are currently the 13th and 17th most costly markets to build at US$ 4,127 psm and US$ 3,985 psm, respectively. The announcement points out “strong worldwide inflation, moderate post-pandemic financial growth, and a considerable devaluation of the yen to a 34-year low, are major elements behind Japan’s smaller total construction expenses this year.”

“Companies need to watch on work. Traditionally, Asian labour industry are known for high schedule and low earnings, yet as need grows for specialist construction such as advanced manufacture and data facilities, there may be bottlenecks of high-skilled employees in these fields,” claims Sumit Mukherjee, head of property, Asia, at Turner & Townsend.

The report arises from Turner & Townsend show that while the worldwide development market quiet deals with obstacles, overall inflationary tension is softening and stabilising rates, relieving assets flow towards major multinational buildup sectors such as information facilities, health care, and manufacturing.

Many international markets traced by Turner & Townsend indicate that a scarcity of skilled labour is one of the most significant factor driving up expense price inflation throughout the building and construction industry.

One Sophia floor plan

The report additionally showed that a weaker Japanese Yen saw average building and construction costs in the country downturn substantially this year. No Japanese urban areas remained in the top ten lineup of most pricey building and construction industry in Asia.

Hong Kong was the ninth most pricey building and construction local market worldwide, with a common cost of US$ 4,500 ($ 6,083) per square metre (psm). Macau took on 12th spot with a normal building and construction rate of US$ 4,269 psm.

Singapore’s building and construction market was relatively more modest, grappling the 35th place on the international listing. Our average construction price this year stands at around US$ 3,129 psm.


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