Major Construction Companies Invest in Modular Construction

By Kitty Wheeler
According to the Global Modular Construction Industry Report, it's expected that modular construction will grow to be worth US$271 billion by 2030.
Modular building is growing worldwide as major construction companies get on board, including Bouygues, Skanska and Katerra.

With housing shortages, high prices and a lack of labour, construction companies worldwide are facing serious challenges in multiple areas.

As a result, major construction companies such as Bouygues, Skanska and Katerra, are investing in modular housing. 

Modular houses are prefabricated off-site. The building sections are easily transported, can be quickly built on site, and are stackable.

This makes modular construction popular with everyone from residential developers to hospitality chains and government agencies, and many see it as a solution to problems such as shortages of housing and labour. 

Modular construction is gaining traction worldwide, with demand being particularly strong in Western Europe and North America, and the demand being driven by factors including shorter construction timelines and cost-effectiveness. 

As well as being quick to build, modular construction is cost-effective, adaptable, portable, and sustainable, because the manufacturing and transportation processes reduces material waste and energy consumption.

The most lucrative markets for modular construction are the UK, US, and Australia, with key centres across the globe including companies like Katerra, who is a tech company that helps transform construction through technology, with factories in the US and Asia.

Notable customers of modular building include McDonald's, Starbucks, and student accommodation providers.

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Here, we take a look at modular housing, and how the big players are leveraging technology to maximise its impact.

Construction giants utilising modular housing and technology:

Skanska

Skanska, the Swedish construction company, is a leading construction and development outfit that offers modular building solutions through its BoKlok and BoKlok Building System subsidiaries, which is a residential housing concept providing sustainable home ownership.

The company has leveraged Building Information Modeling (BIM) and prefabrication techniques to deliver modular solutions. BIM enables precise planning, coordination, and visualisation, while prefabrication allows for controlled manufacturing environments.

Skanska has delivered thousands of modular homes across Sweden, Norway, Denmark, and the UK.

Bouygues

Bouygues is a French Construction company, and provides modular housing solutions for residential, student housing, and temporary accommodation projects.

They have completed modular projects in France, Switzerland, and other European countries, and have implemented digital twins and virtual reality (VR) simulations to optimise modular designs and facilitate collaboration among stakeholders. 

Laing O'Rourke

British construction company Laing O'Rourke has pioneered the use of Design for Manufacture and Assembly principles, emphasising standardisation and off-site manufacturing for modular components.

Modular construction is rising in demand globally.

The principles are: delivering 70% of a build using offsite construction, making things 60% more efficient and saving 30% on program.

It has also delivered modular housing projects in the UK and other parts of Europe.

NELCO

NELCO is a Dutch company that specialises in modular construction, particularly for residential and student housing projects. It has completed projects in the Netherlands and other European countries.

NELCO has embraced advanced manufacturing techniques, such as robotics and automation, to enhance quality control and production efficiency. 

Katerra

Katerra, a US-based technology-driven construction company, offers modular building solutions for various sectors, including residential housing, and has delivered modular housing projects in several states across the US.

The company has also developed proprietary software platforms and supply chain management systems to streamline the modular construction process, from design to delivery.

Landmark Group of Builders

Landmark Group of Builders is a Canadian construction company that has a dedicated modular division called Landmark Modular, and it has completed modular housing projects across Canada.

The company has integrated 3D-printing and augmented reality (AR) technologies into its modular construction workflows, and these technologies enable rapid prototyping, visualisation, and on-site assembly guidance for modular 

As the industry continues to evolve, the adoption of these and emerging technologies is expected to reshape the modular construction landscape, driving innovation and sustainability in the built environment.

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