Modular Construction: Why it is Failing in New York City?


Modular construction is known for building with more efficiency and in a shorter time-frame. New York City, where the only thing higher than the skyscrapers is the price of rent, seems like the perfect place for modular construction.

Apartments can be built quickly and with such precision that utilizes the space in a manner that will produce the most efficient apartment complexes, so why is it failing?

The population of New York City is only going to increase, which leads to an increase in density. New construction will need to utilize the space available in the most efficient manner because there is only so much space and it is not cheap. When property becomes expensive, rent becomes expensive.

Modular construction is off-site, but it needs a factory and it’s become too expensive to pay for a factory in New York City. The solution was to build a factory overseas in order to minimize costs. Unfortunately. if the architect working on the project is in New York City and the factory is thousands of miles away in another country, key details can get lost in translation. Communication is not always convenient, especially if the time zones are different. These issues can be resolved, but time is money and a company cannot afford to stop work and think about what the best strategy should be moving forward. nmn

Will modular construction never work in New York City? Of course not, but for the time being, even modular construction can’t afford to pay rent in New York City.


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