City Grill
![Jeff Park](/ext/resources/Issues/California_Issues/2022/December/ENR1212_REG_CA_CITY-San-Jose_HS-Park.jpg)
Jeff Park
Vice President and Area Manager of Northern California
Gilbane Building Co.
The design and construction markets will continue to see further growth into 2023, creating both opportunity and challenges for owners, designers and builders, Park says.
“The good news is that we continue to see private and public investment in vertical construction and infrastructure,” he says. “With that demand and ongoing commodity and equipment supply chain risks, upward pressure on costs and longer than usual construction schedules may be expected.”
Indeed, procuring mechanical and electrical equipment poses the greatest current threat to on-time project delivery, with lead times for equipment up more than 200% compared with historical averages.
Even so, owners and builders need to be cognizant of other products and commodities. The difficulty of securing once readily available materials such as roofing products or door hardware can quickly impact a project’s critical path.
“As demand continues, it will be difficult for manufacturers and suppliers to maintain inventories,” Park says.