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WASHINGTON — A new study analyzing the design-build project delivery method in the U.S. shows it was used on average in more than 40% of non-residential construction projects in 2010, a 10% increase since 2005. The study was commissioned by the Design-Build Institute of America (DBIA) and was completed by RSMeans Reed Construction Data Market Intelligence. Design-build is an integrated approach that delivers design and construction services under one contract with a single point of responsibility.
“This report reinforces that design-build is a growing and popular method of project delivery and is becoming more commonplace across the country,” said Lisa Washington, executive director of DBIA. “As an educational resource for the industry, we can help owners learn more about the merits of design-build and help them to make informed contracting decisions.”
The study may be found at www.dbia.org/pubs/research/rsmeans110606.htm.
In addition to analyzing market share, the report further breaks down the percentage of design-build projects within nine non-residential building categories. Data shows that design-build is most popular in the military sector, where it holds a commanding 80% of market share by dollar value. The design-build method is also widely used in the medical, industrial and commercial sectors, holding more than 38% of market share in each category.
Geographically, the report shows that the design-build delivery method is used most frequently in the Pacific Census Regional Division (Alaska, California, Hawaii, Oregon and Washington) and the South Atlantic Division (Delaware, Florida, Georgia, Maryland, North Carolina, South Carolina, Virginia, West Virginia and the District of Columbia).
The research team drew upon RCD RSMeans’ proprietary database of historical and planning construction projects data as the basis for the study. In addition, the study incorporated other publicly and privately available data sources. Detailed data on nearly one million construction projects, 300,000 plans and specifications, historical and current material and labor construction costs and historical and projected demographic data was integrated for valid comparisons.
The research team estimates that 95% of public projects and 75% of private projects were captured for the purposes this analysis. Usage rates and market size were calculated for projects bid between 2005 and 2010. For purposes of comparison the delivery methods analyzed include design-bid-build and construction management-at-risk in addition to design-build.
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