atlanta

The Southeastern United States has become one of the country’s most populous and fastest-growing regions.

Cities like Atlanta exemplify this trend – almost one in five residents moved here within the last ten years. This trend is showing no signs of slowing down and has already caused a spike in demand for new construction and costs for labor and commodities. Despite this, the residential sector is cooling off. Atlanta built around 13% fewer multifamily homes in 2024 compared to the average of the last ten years. The single family market has fared similarly, with almost 40% of new homes sold in 2024 being over 30 years old.

The market overall is beginning its transition from the pandemic-era residential boom to a more balanced state. Construction here has benefitted from the efforts of the last two presidential administrations to increase domestic manufacturing. The area’s largest projects are related to electric cars – a new plant to manufacture electric vehicle batteries and another plant to manufacture the vehicles themselves. Data centers are also popping up across the Atlanta area, mainly on the periphery – where they can enjoy proximity to Atlanta’s power and water but where land values are lower. The other large projects are mainly for accommodating the area’s growing population. These are projects like mixed-use developments, upgraded hospitals, and research and life-sciences hubs. We expect these kinds of projects to make up a similarly large share of the market throughout the 2020s.

* Other structures include religious buildings, amusement, government communications, and public recreation projects.