The disruptive nature of the pandemic caused a sharp decline in construction activity in Victoria during 2020. Though the latest forecasts reveal that the Australian construction market has and will continue to recover in 2021. Slattery’s latest VIC Construction Market Update explores how margins are beginning to return to pre-pandemic levels, putting upward pressure on pricing.

The rising costs of labour are a crucial element when assessing construction costs. In our final market update of 2020, Slattery unpack the recent EBA negotiations in New South Wales; the implications for builders and developers of the affected projects and the potential pathway forward.

In June 2020, Slattery predicted short to medium competition in the national market to drive down prices by up to 10% in non-domestic construction. Three months later, the effects of the COVID-19 induced slowdown are becoming evident in the NSW market; prompting further discussion.

As Melbourne nears the end of the first week in Stage 4 lockdown, a number of questions relating to the functioning of the construction industry remain to be answered. In our latest market update, Slattery analyses and explores the critical, overarching question – “how will the market adapt the second time around?”

Supported by stimulating levels of capital allowance incentives, the message from the federal government is that there has never been a better time to spend on capital assets.

The Slattery Leadership team have been talking to Tier 1,2 and 3 contractors daily and expect short to medium term competition to drive prices down by up to 10% in non-domestic construction.