We’ve been talking for years about the speed and cost savings of modular construction. So naturally, we weren’t the least bit surprised to hear about a recent study that confirms modular construction is both faster and more affordable, cutting construction times by an average of 45% and costs by 16%.
As construction times are shortened, ROI increases. Researchers found that a 25% cut in construction schedule yielded an average savings of $5.81 per square foot. For schedules cut by 50%, savings increased to $10.93.
The study was completed by researchers at the University of Utah and funded in part by the National Institute of Building Sciences (NIBS) and Modular Building Institute (MBI). Researchers compared 17 permanent modular construction projects against an equal number of comparable onsite projects. The projects were in the healthcare, residential, hospitality, retail and commercial office industries. Most were in the U.S. in addition to three in Canada, two in the U.K., one in Australia and one in Spain.