dallas

The Dallas-Fort Worth Metroplex is one of the fastest-growing areas within the Texas Triangle.

A typical day here will see somewhere between 30 and 50 new residents move in – this trend is expected to continue and has already caused a spike in demand for new construction, leading to rising costs for labor and commodities. Normally, when demand drives up costs, contractors seek labor resources further afield – a general contractor in Chicago might draw workers from Milwaukee to ensure their project is completed on time, for instance. However, this option isn’t viable for cities in the Texas Triangle, given that the entire region is grappling with similar construction surges. The costs associated with bringing plumbers in from Tulsa, El Paso, or New Orleans are too high to make these feasible options. Instead, businesses must accept higher labor costs.

We expect construction in the Dallas-Fort Worth area to continue to increase, even as the economy cools. Economic recessions typically result in a decrease in high-profile projects that require substantial capital investment up-front. The recent population increase suggests that the market should be able to sustain itself based primarily on the needs of its residents. Instead of coming from a few expensive, high-profile projects, growth will likely be driven by numerous smaller residential, educational, and healthcare developments. This should also provide downward pressure on commodities prices and relief from escalation in the coming years as well.

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