Residential - Construction Executive https://constructionexec.com The Magazine for the Business of Construction Wed, 24 Jun 2026 17:47:42 +0000 en-US hourly 1 https://constructionexec.com/wp-content/uploads/2025/10/CE_Fav_Green_512x512-1-150x150.png Residential - Construction Executive https://constructionexec.com 32 32 251514335 Build a Court, Give a Court: Dallas Business Founder’s Philanthropy and Construction Efforts Culminate in World Cup Spotlight https://constructionexec.com/article/build-a-court-give-a-court-dallas-business-founders-philanthropy-and-construction-efforts-culminate-in-world-cup-spotlight/?utm_source=rss&utm_medium=rss&utm_campaign=build-a-court-give-a-court-dallas-business-founders-philanthropy-and-construction-efforts-culminate-in-world-cup-spotlight Wed, 24 Jun 2026 10:00:00 +0000 https://constructionexec.com/?p=65732 Founder of NexCourt—a Dallas-based sport-court company—has been donating his efforts for decades. Now, his work will be on the world stage.

The post Build a Court, Give a Court: Dallas Business Founder’s Philanthropy and Construction Efforts Culminate in World Cup Spotlight first appeared on Construction Executive.

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What do you get when you combine Dak Prescott, the World Cup, pickleball and philanthropy? Nexcourt owner Mark Kundysek’s business model. And when that business model results in not only countless happy families and businesses but also the Nonprofit and Corporate Citizenship Award from D CEO magazine and a contract to build seven mini-pitches for the FIFA World Cup location in Dallas, you know you must be doing something right. That is why Kundysek sat down with Construction Executive to discuss his company’s over-the-phone origins, professional partnerships—like the one with FC Dallas, Make-a-Wish, the Dallas Mavericks and more—World Cup involvement and making childhood dreams come true.

What drew you into the entrepreneurial world?

I’ve been in construction my whole life starting at age 14 or 15. I worked in Lubbock framing apartments and learning all the ins and outs of how not to hurt yourself. Ultimately, after I graduated college, I tried all kinds of different jobs.

I ended up at a company in Grand Prairie, Texas, called Read Plastics. I had to wear a suit and tie and work indoors. We supplied colorant to any company throughout the U.S. that would manufacture a plastic product that had color. One of the companies that we supplied material to was called Sport Court out of Salt Lake City. So, I picked up the phone and gave them a call—fortunately it was family owned back then. They said for $250 they’d send me a [sport court starter] kit. So, I scrambled up $250, sent it on in, and that’s how it got started. That was around 1988, 1989—and I’ve just enjoyed the journey so far.

A court dedication for the Cross Timbers Family YMCA.

While sport courts themselves are prolific, construction-wise they are down a pretty niche avenue. Elaborate on the actual construction process of building a court.

It starts with a phone call or a referral. We talk to the family or business briefly about what they’re looking for, how many people will be using the court, what sports they are looking to play, etc. And then we work on setting up a time and a date to go out and meet with the client at their home or business, paying close attention to easements, HOA requirements, permitting, etc. If mother nature isn’t an issue, we can get permitted pretty quickly once we start breaking ground—typically about 45 days or less.

Then we work on design: If it’s outdoors, that means paying attention to the lay of the land, the flow of water, the orientation of the sun at different times of day. Once the design is set, we come in and pour a concrete slab, which sets up for a few days. Then we can start topping it out with the fencing, the lights, the hoops, the surfacing, the tennis net, the shuffleboard lines or other. Then it’s a cleanup, a handshake and years of fun.

All these courts are built custom, in one-foot increments, whether it’s a full-size tennis court or a compact sport court—which allows you to play up to 15 games from roller hockey to basketball to volleyball to pickleball to paddle tennis to badminton and more.

We do a lot of indoor courts, as well. We are seeing a trend of more and more families doing indoor courts, especially in homes up in Minnesota where they have frigid temperatures, or in incredibly hot climates. We actually have a ribbon cutting tomorrow with the Mavs Foundation—we supplied the floor and the sports equipment for the YMCA in Flower Mound.

Do you do work with any multifamily complexes or retail places?

We have an individual in our office who specializes in that area. There’s a huge amount of development going on in North Texas right now with homes, community homes, apartments, etc. We are staying busy every week building commercial pickleball courts, basketball courts, tennis courts.

How has your company grown since you first started?

Early on, it was just me and my dad. Eventually, I met my wife and she came on board and took care of all the stuff that I wasn’t doing properly—I had shoe boxes in our bedroom where I kept all my receipts. She got me organized and started handling the phones, entering in leads and more, and that enabled me to go out and continue to sell and build and so forth. Over the years we went from three people to now 12 employees, so it’s grown a lot. And of course our business seems to keep growing as well.

We want to continue to grow. We are always looking at potential new products and partnerships. Ten years ago, we teamed up with Donnie Nelson of the Dallas Mavericks. He created the PFL, the Professional Futsal League, and we helped promote that league for him and it just slowly keeps growing and growing and growing. And we’ve partnered with FC Dallas, building eight mini-pitch soccer courts for them. We are always looking for ways to grow our business, and a lot of that’s going to have to do with making sure that we know what’s coming down the pike as far as new sports and new equipment and things of that nature.

Mark and Kristy Kundysek.

Talk about your philanthropy efforts—namely the Nonprofit and Corporate Citizenship Award from D CEO magazine—but also where did these efforts originate? Was this always something you wanted to make part of your business plan?

It started probably 25 years ago with the Mavs Foundation. I learned that they would go out once a year and renovate an old basketball court. And I actually saw them doing that in South Dallas 25 years ago. What they were doing back then is taking an old basketball court and then putting a layer of paint on it. But in six months to a year, that paint would either peel or crack or the logos would fade. So, I introduced them to the modular-tile sport court product, and they thankfully said, ‘You know what, let’s try one.’ 25 years later, we’ve completed probably close to 40 courts now with the Mavs Foundation.

Then I became a sponsor of the Texas Legends in Frisco, the NBA G-League team. I did a court for Pat Summerall, the former pro-football player and sports announcer. Then I met Nancy Lieberman, the former pro-basketball player and coach, and she put together a program called Dream Courts, and we built her very first one 17 years ago in Frisco. And now she’s done 150 nationwide, and we’ve done about 50 of those locally.

It just kept blossoming: We did five or six ball-hockey courts for the Dallas Stars Foundation, and we’ve done about eight futsal courts for FC Dallas.

By partnering with these organizations and groups, we’re able to provide that same upper echelon product and design to the lower income communities that normally might just be playing on a painted slab or an asphalt court.

When you go look at an old basketball court that’s been there for 25 years, the rims are faded, they’re broken, the court’s cracked. For an organization to come in and use a high-end product, the before and after pictures are unbelievable. When the local kids who are used to the dilapidated court walk in and see this color—because it comes in 20 different colors—they are just so excited to see what someone’s given back to them.

From there, we got into donating courts to some of these nonprofit groups for their live auctions. The very first one I did was with the Children’s Cancer Fund of Dallas. It just so happened at that first event, Dak Prescott was the highest bidder. So, we built him a pickleball court. Then Dak Prescott’s foundation—Faith. Fight. Finish.—called and said, ‘Hey, will you do that for us?’ So, we have stayed active in that realm.

How do you instill that sense of philanthropy in the people you hire?

When a court’s donated, obviously we have to fund it. And I’m not as young as I used to be, so I tend to ask one of my sales reps. It’s worth their while because every time you build a court, you build a relationship with a family or business and that family or business has relationships with other families or business associates.

Right now, we just finished a court for someone who was the highest bidder at the Cattle Baron’s Ball in Dallas. It turns out we’re actually doing a big basketball court and a little football field in his neighbor’s home, whose best friend and wife are this year’s chair of Make-A-Wish. So, to give the employees and give the sales reps stories to tell is a big part of selling.

Of course, the benefits of getting involved in a lot of these groups and organizations is you often get invited to events, and we make sure that our employees and their family can come to these events, which is always a lot of fun as well.

A custom outdoor sport court.

Let’s talk about the award.

This is the benefit of having a PR firm like The Power Group. One of the things they started doing that I never would’ve thought of doing is to nominate the company for various awards like this one. So, I have to give 100% of the credit to The Power Group in Dallas.

When you received word that you got the award, how did you feel about that?

Well, I felt excited. Finally, I found an avenue where people can educate families and educate the public about what we do. Hopefully there’ll be a family that sees it, and we can help them build something for their kids to grow up with in their own backyard.

We were also just awarded a contract to build seven mini-pitch soccer courts for the North Texas World Cup Committee. So, we’re very excited about that. It’s probably going to be over 40,000 square feet of court surfacing, fencing, soccer goals. I grew up in Arlington, Texas, playing soccer, and one of the courts is going to be right in downtown Arlington, real close to where the games are going to be starting in June. The World Cup coming to DFW is a once-in-a-lifetime thing, but then being awarded that contract is just something else.

SEE ALSO: TRUSTING THE PIPELINE: SUPPORTING EARLY-CAREER CONSTRUCTION TALENT

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Inside Construction’s Highest-Performing Projects https://constructionexec.com/article/inside-constructions-highest-performing-projects/?utm_source=rss&utm_medium=rss&utm_campaign=inside-constructions-highest-performing-projects Wed, 17 Jun 2026 10:00:00 +0000 https://constructionexec.com/?p=65425 A new analysis of ABC Excellence in Construction™ project data reveals how value-based procurement, preconstruction services, technology adoption and safety leadership are driving industry-leading performance in schedule, budget and jobsite outcomes across every major market sector.

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Each year, construction project competitions across the globe showcase some of the industry’s most ambitious and complex work. In the United States, among the most prestigious are the ABC Excellence in Construction Awards, where Eagle-winning projects represent the highest levels of project performance, innovation and execution.

But beyond recognizing exceptional work, the data behind these projects may also offer a roadmap for delivering better outcomes across the broader construction industry.

Can the performance metrics from award-winning projects help owners, designers and contractors make decisions that lead to safer jobsites, stronger budget performance and more predictable schedules? According to ABC’s growing EIC data set, the answer appears to be yes.

Over the past several years, ABC has enhanced and automated the EIC application process, enabling the organization to capture and analyze detailed project-performance data across hundreds of projects nationwide. The findings reveal several clear trends among top-performing projects: value-based procurement dominated over low bid selection; preconstruction services consistently improved schedule reliability; and contractors investing in technology and early collaboration often delivered stronger safety and budget outcomes.

The 2025 EIC portfolio—recognized at ABC Convention 2026 in Salt Lake City—provides one of the clearest pictures yet of what project excellence looks like in practice.

The portfolio includes 341 national-level projects totaling $15.09 billion in construction value, representing 38 million work hours, 48 million square feet of construction and 3.6 million acres of developed land. The projects span every major market sector, including data centers, healthcare, multifamily, petrochemical, institutional, renewable energy and aviation.

Collectively, the projects achieved a total recordable incident rate of 0.68—70% below the 2025 industry average TRIR of 2.3. Ninety-eight percent finished within the final contract budget despite collectively overcoming 2,647 days of delays. Across the portfolio, contractors deployed a wide range of technologies, including robotics, telematics, drones, virtual reality and artificial intelligence.

The data also challenges several longstanding assumptions about high-performing construction projects. While many EIC projects exceed $100 million in value, nearly 200 are valued below $20 million, suggesting the practices driving excellence are not limited by project size. The portfolio also demonstrates that merit shop contractors are successfully delivering large-scale, technically complex projects while achieving industry-leading safety performance.

Taken together, the portfolio significantly outperformed broader industry benchmarks in safety, budget reliability and schedule management—raising an important question: What were these projects doing differently?

The data points to several leading indicators that consistently show up in award-winning construction.

THE VALUE OF EARLY ENGAGEMENT

Project success begins with procurement strategy and the services purchased during project development.

All procurement methods were represented across both general and specialty contracting. However, 60% of projects were procured primarily on value- or qualification-based selection, while 40% were procured primarily on price. Of the price-based projects, half were awarded through select bidding processes involving prequalified contractors.

While much of the broader construction market still relies heavily on price-driven procurement, EIC projects skewed strongly toward qualification- and value-based selection (encompassing both the “value-based” and “solely negotiated” designations in the preceding and above infographics).

Every market sector selected contractors primarily on qualification at least 50% of the time. The high-tech/data center sector and renewable energy sector relied most heavily on qualification-based procurement, at 74% and 75%, respectively.

“Owners are increasingly seeing that selecting a construction partner based on best value, not just low price, leads to savings overall,” says Buddy Henley, president of Gaithersburg, Maryland-based Henley Construction. “Having a trusted partner engaged during design allows risks to be identified earlier and problems to be solved before they become costly. That early collaboration improves cost certainty, supports smoother schedules and significantly reduces surprises in the field.”

Government projects relied most heavily on open hard bid or price-based procurement, using that method 27% of the time. By contrast, the high-tech/data center market procured just 15% of projects through open hard bid.

Among general contractors, 74% were selected primarily on a qualification basis. Nearly one-quarter of those projects were solely negotiated, and those projects represented the highest average contract value at approximately $101 million.

“The most successful projects are the ones that bring the design team and construction manager together at the very beginning. Early collaboration improves constructability, clarifies scopes for the trades, and reduces gaps that create risk,” Henley says. “That early alignment leads to better budget predictability and stronger trade relationships, which directly supports safer and more successful projects.

When owners focus on value-based procurement instead of low bid alone, the outcomes are consistently stronger. Choosing teams based on experience, collaboration and the value they bring creates real partnership across the project. We see better cost control, higher-quality results and safer jobsites when the right team is selected from the start.”

Lorri Grayson, partner and founder of Rehoboth, Delaware-based GGA Construction, echoes Henley’s sentiments. “Early involvement creates an atmosphere of strong collaboration among project stakeholders. It enables the project team to define the scope of work, identify long lead items and, most importantly, control costs from the earliest stages,” she says.

“It also helps develop a bid strategy that responds to current market conditions. For example, early involvement on our current project, The Continental, located at the University of Delaware, saved the owner over $5 million on a $90-million project,” Grayson says. “Early coordination allowed us to identify critical procurement needs and minimize budget risks, resulting in a more efficient and cost-effective process.”

That emphasis on early collaboration and value-driven procurement was reflected throughout the EIC portfolio data. Just 18% of general contractor projects were procured through open hard bid, and those projects represented the lowest average contract value at approximately $15 million.

The owner perspective also supports early contractor involvement.

“Successful projects are built on strong partnerships rooted in trust, transparency and psychological safety—where titles are set aside and teams feel comfortable speaking openly to solve problems together,” says Spencer Moore, vice president and chief facilities officer for globally renowned cancer center UT MD Anderson. “Early collaboration creates that foundation, allowing teams to address challenges with humility and ownership before moving toward solutions.”

That same emphasis on qualifications, collaboration and long-term value also appeared in how specialty contractors were selected across the EIC portfolio. Specialty contractors were procured primarily on qualification 46% of the time, while 31% were selected through select bid and 24% through open hard bid. Contract value did not appear to significantly influence procurement methodology for specialty trades.

One of the more surprising findings in the data was that procurement strategy did not necessarily dictate contract structure. Regardless of how projects were awarded—whether through qualification-based selection, negotiated work or open bid—top-performing projects utilized virtually every form of contracting across the portfolio.

One notable distinction emerged between general and specialty contractors: Lump-sum contracting overwhelmingly dominated among specialty contractors regardless of procurement method.

THE PRECON ADVANTAGE

Across all market sectors, preconstruction services were provided on 74% of projects—well above what many contractors would consider typical across the broader marketplace. General contractors delivered preconstruction services on 73% of projects, while specialty contractors did so on 75%.

“Early involvement allows specialty contractors to contribute practical, experience-based insight before key decisions are locked in. When we’re engaged during preconstruction, we can identify coordination challenges early, help refine scope and sequencing, and offer practical yet innovative solutions to tough problems–reducing rework,” says Matt Terry, president of Dallas-based mechanical contractor TDIndustries. “That upfront collaboration directly improves schedule reliability, cost certainty and overall project performance.”

Steve Grauer, executive vice president for Hensel Phelps, agrees. “In my experience, the best outcomes to project success on complex projects are rooted in project teams that exemplify a high level of trust, practice transparency, have accountability, truly collaborate, and have a high level of executive commitment and engagement in the project and where there is open communication by all the stakeholders,” he says. “These traits are best embedded when project teams have some type of early engagement, giving them an opportunity to work collaboratively to resolve early challenges and work to build personal relationships prior to the start of construction.”

Notably, no preconstruction services were provided on 51% of projects procured through open hard bid.

While preconstruction services were utilized across all procurement methods and contract structures, the combination of open hard bid procurement and lump-sum contracting most frequently resulted in projects without preconstruction involvement.

Twenty-six percent of all EIC projects did not utilize preconstruction services, and 75% of those projects followed the open hard bid/lump-sum model.

FROM PLANNING TO PERFORMANCE

At a time when the construction industry continues to battle cost escalation, labor shortages and schedule disruption, EIC projects significantly outperformed broader industry benchmarks in safety, budget reliability and schedule management. The EIC portfolio overcame more than seven years of cumulative delays, delivering 98% of projects within budget and achieving a TRIR of 0.68.

The next question? Whether procurement methods, contract structures or preconstruction services contributed to those outcomes.

When comparing planned project duration to actual construction duration—including delay recovery—projects utilizing preconstruction services demonstrated stronger performance.

Projects with preconstruction services showed slightly better schedule outcomes overall. Fifty-two percent achieved shorter actual durations compared to projects without preconstruction services.

More importantly, projects with contractor involvement during preconstruction overcame more delay days and exhibited lower schedule variation.

Projects without preconstruction services experienced a 14% variance between planned and actual construction duration, including delays.

The same trend appeared across contract structures. Lump-sum contracts—which included preconstruction services on only 47% of projects—experienced an 11% variance between planned and actual duration. Construction manager-at-risk projects, where preconstruction services were included on 96% of projects, experienced only a 1% variance.

The trend became even more pronounced among general contractors. Design-build and CMAR delivery methods significantly reduced schedule duration variance compared to lump-sum and time-and-materials contracts. This aligns with the fact that design-build and CMAR projects incorporated preconstruction services on 90% and 96% of projects, respectively.

“The biggest gains we see come under the construction-manager-at-risk approach. Early cost validation during design helps identify savings without sacrificing quality,” explains Henley. “Clarifying scopes and resolving issues early reduces financial risk and improves safety across all trade partners.”

Among specialty contractors, preconstruction services also reduced schedule variation regardless of procurement method or contract type. Projects without preconstruction services experienced a 25% schedule variance. When specialty contractors participated in preconstruction, that variance was reduced by at least half.

Although 98% of EIC projects finished within the customer’s final approved budget, variation still existed between original and final contract values through approved change orders.

Projects utilizing CMAR and design-build delivery methods experienced lower budget variation than lump-sum and time-and-materials contracts, suggesting fewer scope changes and change orders over the course of construction.

No significant correlation emerged between procurement method, contract type and safety performance, with one exception: time-and-materials projects recorded an exceptionally low TRIR of 0.04.

Time-and-materials contracting was most common in industrial, infrastructure and renewable energy markets.

CONSTRUCTION TECHNOLOGY

Technology adoption continues to expand across the construction industry.

  • The four most commonly used technologies during the past three years remained consistent:
  • Project-management platforms
  • Safety workflow technologies
  • Drones
  • Jobsite security technologies

TECHNOLOGY MOVES TO THE CENTER

Just three years ago, artificial intelligence was virtually absent from EIC projects. Today, 18% of projects report using AI technologies.

Importantly, no major technology category has declined in usage over the past three years, suggesting contractors continue to realize measurable return on investment.

Technology deployment also spanned all contract types and project sizes.

Construction technologies were utilized across projects of every size category. Data indicates that technology deployment frequency remains consistent regardless of project dollar value.

“During the past three years, we have experienced unprecedented growth which we attribute to two key factors,” says Rob Griffith, chief operating officer of Gaylor Electric. “First, we are collaborating with our customers earlier in the precon process. The second—related—factor is our commitment to utilizing innovations that increase efficiency and safety for our workforce and the speed at which we deliver reliable outcomes on projects.”

Projects utilizing safety technologies consistently reported lower TRIR rates than projects without those technologies.

The trend suggests that investments in safety-focused technology are contributing to improved jobsite performance.

“Technologies like BIM, VDC, field-management platforms and real-time reporting help teams communicate more effectively and make informed decisions faster,” Terry says. “Our longstanding investments in these tools give our teams a distinct advantage when delivering high-quality results. This amounts to better productivity, safer jobsites and more predictable outcomes for owners.”

WHAT THE INDUSTRY CAN LEARN

Companies qualifying for EIC awards should take pride in their performance. The data confirms that ABC’s EIC-awarded projects significantly outperform industry averages across safety, budget and schedule metrics.

  • The analysis also reinforces several broader conclusions:
  • Preconstruction services deliver measurable value
  • Technology adoption is accelerating and becoming a key differentiator
  • Safety leadership remains foundational to project excellence
  • High-performing contractors consistently deliver quality projects regardless of procurement method or contract structure

The data also provides insights worth sharing broadly across the industry. Regardless of project size, market sector or delivery method, the conditions for excellence can be created through intentional planning, collaboration, innovation and leadership.

SEE ALSO: ABC UNVEILS AWARD-WINNING CONSTRUCTION PROJECTS, NATIONAL CONTRACTOR OF THE YEAR, SAFETY AND DIVERSITY EXCELLENCE IN THE INDUSTRY

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Old Military Parachutes Repurposed in Wyoming Monastery Project https://constructionexec.com/article/old-military-parachutes-repurposed-in-wyoming-monastery-project/?utm_source=rss&utm_medium=rss&utm_campaign=old-military-parachutes-repurposed-in-wyoming-monastery-project Thu, 12 Mar 2026 12:00:00 +0000 https://constructionexec.com/?p=64057 This company is redefining construction sustainability by building second chances.

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The construction industry has long struggled with waste. Surplus materials, rejected components and over-ordered inventory routinely end up in dumpsters—not because they lack value, but because traditional supply chains leave little room for reuse. Can a company build a business around solving that problem? repurposedMATERIALS is. They’re creating a practical marketplace for used, surplus and reclaimed industrial materials—including ballistic glass panels and military parachutes.

Often described as “America’s industrial thrift store,” repurposedMATERIALS works with contractors, manufacturers, utilities, government agencies and agricultural operations to divert usable materials away from landfills and into new, productive applications. Rather than breaking materials down through recycling, the company specializes in repurposing—keeping items intact and functional so they can be reused with minimal processing.

“For us, the goal isn’t perfection—it’s practicality,” says company owner Damon Carson. “If something is still strong, still safe and still useful, then throwing it away doesn’t make sense. We exist to connect that material with someone who can actually use it.”

SEE ALSO: ADAPTIVE REUSE PROJECTS ABOUNDED IN 2025

A Practical Approach to Construction Waste

Construction waste is often a byproduct of timing, specification changes or liability constraints—not material failure. repurposedMATERIALS focuses on capturing that overlooked value. With warehouse locations across the United States, the company accepts everything from surplus building materials and industrial components to highly specialized items that no longer fit their original purpose.

This approach allows builders and project managers to solve two problems at once: reducing disposal costs while gaining access to affordable materials. In many cases, materials available through repurposedMATERIALS can cost a fraction of new inventory, while still meeting the functional needs of the project.

The company’s impact becomes especially clear when looking at real-world case studies that demonstrate how creative reuse can solve unexpected challenges.

Case Study #1: Bulletproof Glass Finds a New Home in a Zoo

One of repurposedMATERIALS’ most striking examples involves a semi-truckload of unused level-8 ballistic glass panels. Originally manufactured for installation at the state capital complex in Sacramento, California, the two-inch-thick panels—measuring 42 inches by 10 feet—were rejected after being produced to the wrong specification.

For many suppliers, this kind of mistake would result in scrapping the glass entirely. Instead, repurposedMATERIALS accepted the material, recognizing that its strength and quality were still exceptional.

The glass would find its home in an unexpected place. A zoo in Texas, preparing for construction of a new lion exhibit scheduled to begin in 2026, needed large, durable viewing panels capable of safely separating animals from visitors. repurposedMATERIALS re-homed 24 of the ballistic glass panels to the zoo.

Although the glass was technically over-engineered for the application, the zoo gained a far more affordable solution than purchasing new specialty panels—and the material avoided the landfill entirely.

“That glass didn’t fail,” Carson explains. “It just didn’t fit one project. But for the zoo, it was a perfect match. That’s what repurposing is all about—finding the right second life.”

Case Study #2: “Expired” Natural Gas Pipe Solves an Agricultural Challenge

In another example, a major natural gas utility company in Illinois faced a familiar regulatory issue. Polyethylene natural gas pipe must be installed and buried within three years of its manufacture date to meet safety and liability requirements. Once that window closes, the pipe becomes unusable for gas service—even if it is brand new and structurally sound.

Rather than discarding the material, the utility sent the “expired” pipe to repurposedMATERIALS. The company then matched it with a Minnesota hog farmer facing a different problem altogether.

The farmer needed a cost-effective way to transport manure from his hog barns to his cornfield irrigation system, where it would be sprayed as fertilizer. He buried 2,800 feet of the expired four-inch polyethylene pipe to move the manure efficiently across his property.

For the farmer, the manufacturing date was irrelevant. He needed pipe that was strong, reliable and affordable—and the reclaimed gas pipe met those needs perfectly.

“Regulations can turn perfectly good materials into waste overnight,” Carson says. “But outside of that original use case, those materials can still be incredibly valuable. In this case, one problem became another person’s solution.”

Case Study #3: Retired Military Parachutes Become a Monastery Workshop

Not all repurposing solutions come from construction or utilities. Sometimes they come from the Department of Defense.

The U.S. military routinely retires massive cargo parachutes used to deliver tanks, Jeeps, ammunition and food supplies to battlefields. These are not standard parachutes—they range from 35 to 100 feet in diameter and are built to withstand extreme forces. Once retired, they are typically destroyed or discarded.

repurposedMATERIALS stepped in to redirect these parachutes toward a completely different mission.

When Brother Joseph and the Carmelite monks in Wyoming needed a warm, workable space to help build their monastery, they chose creativity over conventional construction. Using eight repurposed military parachutes sewn together and reinforced with one-inch blended webbing tied to concrete-filled drums, the monks engineered a temporary workshop enclosure.

Once a portable propane heater was turned on, the parachutes expanded like a hot air balloon, creating a surprisingly effective and insulated workspace. Within three hours, the structure transformed brutal Wyoming winter conditions into a usable environment where the monks could continue their work.

“That project is a perfect example of thinking differently,” Carson says. “Those parachutes were designed to save lives in combat. Now they’re supporting a peaceful, productive purpose. That’s the beauty of reuse.”

Smart Solutions for a Changing Industry

Builders face increasing pressure to reduce waste, lower embodied carbon and control costs. By reusing materials as-is, contractors avoid the environmental impact of manufacturing new products while also cutting transportation and disposal costs. The result is a more efficient material lifecycle—one that aligns sustainability with common-sense economics.

“Construction doesn’t need more buzzwords,” Carson says. “It needs options that work in the real world. Repurposing gives people a smarter way forward without sacrificing quality or performance.”

SEE ALSO: WHAT’S OLD IS NEW: ADAPTIVE REUSE ACROSS AMERICA

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Adaptive Reuse Projects Abounded in 2025 https://constructionexec.com/article/adaptive-reuse-projects-abounded-in-2025/?utm_source=rss&utm_medium=rss&utm_campaign=adaptive-reuse-projects-abounded-in-2025 Thu, 12 Feb 2026 17:00:00 +0000 https://constructionexec.com/?p=63178 The buildings of some the country's most iconic companies were once used for something else.

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While bids for complex capital projects continue to dominate the construction industry, adaptive reuse has been quietly on the rise. Notably, more than 70,000 apartments were converted from office buildings in 2025, up more than 200% since 2022.

Driven by an increase in hybrid work, an ongoing housing shortage and a heightened focus on environmental concerns, these unique projects not only help revitalize communities but support sustainability, reduce waste and help contractors grow their business. 

REUSE PROJECTS AND RESEARCH

High-profile adaptive reuse projects include the award winning Asher Adams Hotel, formerly the historic Union Pacific Railroad Depot in Salt Lake City; The High Line, originally an elevated railroad track turned public park in New York City; and Ghiradelli Square, the iconic San Francisco-based chocolate factory turned shopping, dining and entertainment complex. These transformations showcase the power of adaptive reuse to revitalize local neighborhoods and communities while reducing the environmental impact and restoring the architectural heritage of abandoned structures.

Given the nuances associated with adaptive reuse projects, contractors gain an unprecedented opportunity to grow their business, learn new technical skills, navigate complex project management issues and hone problem-solving proficiencies, while expanding the opportunity to apply creativity and innovation to project design. Offering laborers the hands-on opportunity to work on adaptive reuse projects gives contractors a competitive edge and can help attract highly motivated and energetic individuals to increase their talent bench and showcase expertise in tackling these unique projects. 

Furthermore, the measurable gains achieved through these projects are proven and significant. Industry research cites adaptive reuse projects can be completed up to 30% faster and are typically 15–30% less expensive than new construction due to savings on demolition, new materials and labor. By executing these revitalization-type projects, contractors also demonstrate a commitment to sustainability, helping to attract like-minded industry partners and much-needed talent resources, all while contributing to the greater good. The Carbon Avoided: Retrofit Estimator tool was purpose-built to quantify carbon savings and, in a 2024 study on reusing a historic building, found an 82% reduction in global warming potential compared to building new. The environmental impact of adaptive reuse is significant and can make a meaningful difference in local communities around the world. 

CHALLENGES AHEAD

While the benefits are clear, adaptive reuse isn’t without its challenges. Unlike new builds, adaptive reuse projects can present unforeseen hurdles like structural issues, building codes that are difficult to meet, contaminants like asbestos, complicated design modifications to existing layouts and more.

To help contractors navigate adaptive reuse projects, there are innovative tools available designed to help overcome these challenges, ensure efficiencies and maximize onsite labor. A few of these solutions include:

  • Innovative Cable Solutions: One of the key advantages of adaptive reuse projects is that much of the existing infrastructure–such as doorways–is already present. This means that contractors don’t have to spend time building these out. However, it does mean that contractors need to find efficient ways to move cable through the existing structure efficiently. Most cable reels won’t fit through standard doorways, so contractors tend to waste time tearing down and then rebuilding the frames. Fortunately, there are cable solutions that can fit through most standard doorways, which saves time on these kinds of projects.
  • Lighting Carts: Every broken light bulb or fixture takes money out of a contractor’s pocket. Lighting carts allow workers to easily and securely transport these materials across the jobsite. Additionally, these carts save time by eliminating the need for electricians to manually carry fixtures around the site.
  • Mobile Storage Solutions: With space often at a premium, these job trailers provide a single, secure place to store all the necessary materials, which helps save on labor and streamline inventory management.
  • Kitting and Prefabrication: One of the main advantages of adaptive reuse projects is they generally have a faster turnaround time than new builds. Kitting and prefabricated solutions can help speed up installation time even further by delivering components to the jobsite ready to install. Labor-intensive tasks, such as sorting and basic assembly, are performed off site, meaning specialized labor can spend more time on critical tasks.

As metro areas get more creative in how they utilize their existing buildings and spaces, the number of adaptive reuse projects will only continue to grow. For contractors, the measurable benefits cannot be ignored and while challenges exist, those that overlook the opportunity to tackle these projects are leaving money on the table and effectively handing business to their competitors. By relying on innovative tools, strategic partners and doubling down on a commitment to helping improve their local communities, contractors are well positioned to confidently add adaptive reuse to their project portfolio.    

SEE ALSO: PLAN OF STEEL: RALEIGH’S NEWEST ADAPTIVE-REUSE PROJECT

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We Have to Get This Done: Data Centers, Interest Rates and More Primed to Exacerbate Labor Shortage https://constructionexec.com/article/we-have-to-get-this-done-data-centers-interest-rates-and-more-primed-to-exacerbate-labor-shortage/?utm_source=rss&utm_medium=rss&utm_campaign=we-have-to-get-this-done-data-centers-interest-rates-and-more-primed-to-exacerbate-labor-shortage Wed, 11 Feb 2026 16:00:00 +0000 https://constructionexec.com/?p=62674 ABC’s latest workforce shortage analysis should be a wake-up call to Congress and the impetus for implementation of a market-based worker visa system.

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ABC’s latest workforce shortage analysis reveals the construction industry must attract 349,000 new workers in 2026—and 456,000 in 2027—to keep up with demand for construction services. That demand is based on a relatively conservative construction spend forecast of $2.23 trillion. Should this economy take off like President Trump believes it will, the industry’s challenge to find and retain talent will become even more difficult—especially as the U.S. Bureau of Labor Statistics reports the construction industry created just 14,000 net new jobs in 2025.

Construction faces swirling winds in 2026 that will only exacerbate the shortage: data center construction growth, slow demand in residential markets, interest rates, construction input costs, deregulation, immigration enforcement, tariff policies and more. But there is one headwind we can turn into a tailwind: authoring into law a market-based worker visa system.

This visa system relies on actual construction labor demand rather than the government issuing a fixed arbitrary number of visas each year. Visa applicants are hired based on merit and skill, with a robust vetting process that addresses security and fraudulent applicants. A market-based worker visa system creates a significant income stream through payroll tax withholdings—a direct benefit to U.S. citizens—and will contribute significantly to satisfying the chronic worker shortage we have today.

If this system had been implemented 10 years ago, our industry more than likely would not be dealing with the chronic workforce challenges we have today.

This proposal is a systematic transformation of the construction worker visa system, relying on economic laws of supply and demand and complying with the rule of law in our land.

Now is the time. We have to get this done.

SEE ALSO: BUILDING THE NEXT GENERATION: SIX STRATEGIES FOR MANAGING A YOUNGER CONSTRUCTION WORKFORCE

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Going Underground May Save Contractors Time, Money and Energy: The Upside of Geothermal Heating and Cooling in Construction https://constructionexec.com/article/going-underground-may-save-contractors-time-money-and-energy-the-upside-of-geothermal-heating-and-cooling-in-construction/?utm_source=rss&utm_medium=rss&utm_campaign=going-underground-may-save-contractors-time-money-and-energy-the-upside-of-geothermal-heating-and-cooling-in-construction Thu, 13 Nov 2025 00:20:41 +0000 https://constructionexec.com/?p=62029 LEED standardization in construction is going underground—that is, to find new sources of energy.

The post Going Underground May Save Contractors Time, Money and Energy: The Upside of Geothermal Heating and Cooling in Construction first appeared on Construction Executive.

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Construction industry leaders have increasingly strong reasons to factor in building sustainability and decarbonization at the outset of projects. The U.S. Green Building Council just released LEED v5, the latest version of its influential standards around health, environmental impact and decarbonization for buildings. LEED v5 reflects the USGBC’s heightened focus on reducing the carbon emissions of buildings—buildings account for about 40% of global energy use and emissions—with decarbonization now accounting for half of all points to achieve certification. And crucially, LEED v5 includes heat pumps as key tools for decarbonization and energy efficiency in obtaining points. Industry leaders need to keep this in mind—and need to especially consider a type of heat pump that enables greater long-term energy savings: geothermal.

REGULATIONS AND GREEN PREMIUMS

LEED certification isn’t mandatory, so why should construction industry leaders and contractors invest in the greener building techniques that meet LEED standards?

Municipalities and states across the U.S. are enacting more stringent building performance standards, many of which include carbon caps and broadly align with LEED. This is especially the case in the country’s premium real estate markets—cities like New York, Boston and Seattle (for example, Local Law 97 in New York City mandates carbon caps for buildings over 25,000 square feet). Developers must now factor in carbon emissions not just during construction, but over the lifecycle of the building.

But it’s not just regulation. There’s a growing market-based green premium for sustainable buildings, especially those that can demonstrate low operational costs and carbon footprints. According to research by real estate company JLL, premiums for LEED certified buildings in terms of rental cost, once factors like location and building age are accounted for, average just over 7% globally and 11.6% across eight cities in North America (for reference, there are 1,437 LEED projects equaling over 414 million gross square feet in the top ten U.S. states for such projects). This means buildings that are LEED certified have higher value in the real estate market and typically accrue more financially to owners—a major selling point for LEED-compliant construction practices.

As construction executives look to better incorporate sustainable practices holistically into buildings for both regulatory and financial reasons, there is a key area they cannot ignore. LEED v5 includes heating and cooling within its decarbonization standards due to heating, ventilation and air conditioning systems being among the largest energy consumers in a building, often accounting for more than 40% of total energy use.

Integrating geothermal heating and cooling systems from the outset of design can play a key role in new builds and retrofits across a wide range of buildings, whether they’re part of LEED certification or not.

THE ROLE OF HEATING AND COOLING

The U.S. Department of Energy estimates that about 30% of energy in U.S. commercial buildings is wasted. This represents not just excess carbon emissions but money going literally out the window.  They also represent a major source of carbon emissions, particularly in older buildings reliant on fossil fuel-based heating.

Increasingly, developers and building owners and managers looking to solve these problems are turning to heat pumps. These address some of the energy efficiency issues of HVAC systems; it’s estimated that air-source heat pumps perform on average two or three times as efficiently as fossil fuel-based systems. But while air-source heat pumps tend to predominate currently in North America, another type of heat pump that is more commonly used in Europe can actually boost energy efficiency four to six fold: the ground-source—or geothermal—heat pump.

THE GEOTHERMAL ADVANTAGE

Geothermal heat pumps and HVAC systems transfer heat between a building and the relatively stable temperature of the earth, using the ground as a heat sink in summer and a heat source in winter. This drastically reduces the amount of energy needed to maintain comfortable indoor temperatures, as there’s no drop in output based on outside temperature levels (as there often is with air-source heat pumps).

Advanced technology also enables the drilling of boreholes in remarkably compact spaces. For dense urban developments or university campuses where land is limited, geothermal offers a powerful, compact solution to meeting carbon reduction goals. These systems are also highly compatible with retrofits as well as new construction projects, an important factor in many older cities. All this is why LEED v5 includes geothermal heat pumps as a way to gain points toward certification.

While geothermal HVAC systems often involve higher upfront installation costs (which is why they tend to be less common than air-source systems), they pay off over time through lower energy bills, greater reliability and better efficiency in colder climates, due to their tapping into the earth’s stable temperature rather than relying on unstable and unreliable energy sources. When integrated early in the design process—particularly in new construction—those installation costs can be minimized, making the investment even more attractive. And, depending on location, government incentives like tax credits and utility rebates can help offset the initial capital outlay.

HOW GEO-EXCHANGE NETWORKS BOOST EFFICIENCY AND CUT ENERGY USE

As construction leaders and decision-makers contemplate the future, they can and should think beyond individual buildings. In any relatively dense area, there will be buildings whose occupancy varies by hour of the day—commercial buildings full during the day and empty at night, while residential buildings are the opposite. This opens opportunities for buildings with geothermal HVAC systems to share—or even sell—their excess energy  at different periods of the day when demand fluctuates, helping to balance overall energy demand and reduce the need for fossil fuel energy generation overall. As municipalities and institutions look to decarbonize, these geo-exchange networks offer a pathway to broad-scale emissions reductions.

PARTNERSHIPS FOR BUILDING DECARBONIZATION

As green construction moves from luxury to necessity, the sustainability of HVAC systems will become less a challenge and more an opportunity. But this cannot take place in a silo; to fully take advantage of technologies that enable geothermal heating and cooling and ultimately geo-exchange networks, construction executives need to seek out key partners in the energy, technology and utility spaces to fully mobilize the expertise that’s available to drive sustainability across projects. The firms that build these partnerships now will lead the market tomorrow.

In a rapidly evolving construction landscape, geothermal heating and cooling technologies stand out not only for their environmental performance, but also for their economic and operational advantages. As LEED v5 raises the bar for decarbonization and sustainability, early integration of geothermal HVAC systems can be a crucial differentiator, helping developers meet ambitious standards, avoid regulatory risks and deliver long-term value for owners and occupants alike.

SEE ALSO: ENERGY STAR VS. LEED: WHICH CERTIFICATION IS BEST FOR YOUR CONSTRUCTION PROJECT?

The post Going Underground May Save Contractors Time, Money and Energy: The Upside of Geothermal Heating and Cooling in Construction first appeared on Construction Executive.

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Gardens Are the New Penthouse https://constructionexec.com/article/gardens-are-the-new-penthouse/?utm_source=rss&utm_medium=rss&utm_campaign=gardens-are-the-new-penthouse Wed, 13 Aug 2025 12:00:00 +0000 https://constructionexec.com/article/gardens-are-the-new-penthouse/ The new Ellinikon Riviera Tower in Athens is turning blue skies green with its garden penthouse apartments.

The post Gardens Are the New Penthouse first appeared on Construction Executive.

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Luxury skyscrapers are going green—literally. High-rises like Athens’ Riviera Tower are redefining upscale living by weaving nature into the very fabric of architecture. Currently under construction in the Ellinikon smart city, Riviera Tower is Greece’s first green residential skyscraper and among Europe’s most sustainable. It features deep-planted terraces, private pools and biophilic design that mimics the Mediterranean coastline.

Globally, it joins the ranks of Milan’s Bosco Verticale and Singapore’s EDEN as cities embrace outdoor-integrated vertical living. Fully presold, Riviera Tower proves that green sells. With sea views in every unit, nature-inspired interiors and low-impact materials like cement-saving concrete, it’s a towering example of how eco-design and elite living intertwine.

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News Briefs: July-August 2025 https://constructionexec.com/article/news-briefs-july-august-2025/?utm_source=rss&utm_medium=rss&utm_campaign=news-briefs-july-august-2025 Tue, 12 Aug 2025 12:00:00 +0000 https://constructionexec.com/article/news-briefs-july-august-2025/ Tiny home is taking on a new meaning with micro-housing trends; plus, copper prices soar.

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MICRO GOES MAINSTREAM

StorageCafe recently analyzed the 100 most populous U.S. cities using 2023 census data and 2025 rental stock information from Yardi Matrix to determine which markets have the highest percentage of undersized rental units—that is, rentals smaller than half the average unit size for their state.

West Coast cities are leading the charge. San Francisco comes out on top, with approximately 15% of its rental inventory classified as “micro” units under 441 square feet—some as small as 124 square feet. Seattle ranks high as well, with micro units accounting for 12% of its current total stock and a striking 66% of its new developments. Other top markets for new micro-unit development include Boston (56.2%), Newark (49.8%), New York City (43.3%), Reno (40.5%), Portland (19.3%), San Diego (21.2%), Minneapolis (20.3%) and Honolulu (11.6%).

Overall, micro‑housing is on the rise and gaining mainstream acceptance. Driven by zoning reforms in several cities alongside skyrocketing rent costs, micro-living offers cost-effective, compact options for young professionals, retirees and single-person households.

COPPER CRUNCH

Copper prices have recently soared to record highs due to President Trump’s proposed 50% tariff on the metal—an announcement with major implications for the construction industry. Copper, essential to wiring, plumbing, HVAC systems and other core building components, surged 13% at one point, marking the largest single-day price jump since 1968. Futures climbed over 9.5%, reaching $5.51 per pound.

The proposed tariff threatens to significantly raise material costs for builders, especially as the U.S. relies heavily on copper imports—about 810,000 tons in 2024—despite strong domestic production. Most imports come from Chile, Canada and Mexico, key trade partners now facing potential disruption. The industry has long depended on stable supply chains, which could be upended by this policy shift. For contractors and developers already grappling with inflation and labor shortages, higher copper prices could delay projects, shrink margins and stall growth across commercial and residential sectors.

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Energy Star vs. LEED: Which Certification Is Best for Your Construction Project? https://constructionexec.com/article/energy-star-vs-leed-which-certification-is-best-for-your-construction-project/?utm_source=rss&utm_medium=rss&utm_campaign=energy-star-vs-leed-which-certification-is-best-for-your-construction-project Thu, 12 Jun 2025 19:00:57 +0000 https://constructionexec.com/article/energy-star-vs-leed-which-certification-is-best-for-your-construction-project/ New construction has an opportunity to positively impact climate outcomes from day one with benefits that last for decades, with encouragement from a potential Energy Star certification.

The post Energy Star vs. LEED: Which Certification Is Best for Your Construction Project? first appeared on Construction Executive.

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A recent Axios analysis found that the U.S. housing market is short 3.2 million housing units, noting “there aren’t enough homes to keep up with the increase in households.” To be sure, both of these challenges defy simple solutions. However, the industry can create large-scale, climate-resilient housing when buyers, builders, developers and policymakers address these challenges. Specifically, integrating geothermal heating and cooling from day one will minimize environmental impact, heighten sustainability and help ensure long-term affordability.

Wyatt Roberts, head of new construction for Dandelion Energy, sat down with Construction Executive to discuss details on how the Energy Star building certification promotes the biggest bang for your buck when it comes to building more and building more sustainably.

How is Energy Star different from LEED or other energy-related building certifications?

Energy Star focuses strictly on energy efficiency, certifying buildings based on actual energy performance data to ensure they meet high-efficiency standards. In contrast, LEED takes a broader sustainability approach, evaluating energy use, water efficiency, materials, indoor air quality and environmental impact through a point-based system.

Energy Star is the best choice for builders looking to maximize efficiency and lower operating costs. For those pursuing a comprehensive sustainability certification, LEED is preferred.

(Tip: Learn more on Energy Star vs. LEED: Energy Star Certification Guide | LEED Certification)

What does it take to qualify for Energy Star certification?

To qualify, a building must meet the Environmental Protection Agency’s Energy Star efficiency criteria, typically performing in the top 25% of similar buildings nationwide. Certification under the latest Version 3.2 (Rev. 14), revised Jan. 15, 2025, requires:

  • Benchmarking energy use through EPA’s Portfolio Manager
  • Enhanced thermal envelope requirements to meet or exceed the 2021 International Energy Conservation Code
  • Stricter HERS Index Score targets lower energy consumption
  • High-efficiency HVAC, insulation, lighting and water heating systems
  • Third-party verification by a licensed Energy Star rated party

What should multifamily construction contractors know before aiming for certification?

Contractors should understand that Energy Star-certified multifamily buildings must comply with the Multifamily New Construction program. Key considerations include:

  • Upgraded HVAC Requirements: Energy Star 3.2 favors high-efficiency systems like geothermal heat pumps for optimal energy performance.
  • Strict Thermal Envelope Performance: Advanced insulation, air sealing and high-performance windows are essential.
  • Energy-Efficient Lighting and Appliances: LED lighting, smart thermostats and Energy Star-rated appliances are key to compliance.
  • Third-Party Verification: Builders must work with certified Energy Star raters to document compliance.

(Tip: Learn more about Multifamily certification: Energy Star Multifamily Guide)

Do qualifications vary by project specs, state or funding type?

Yes, Energy Star certification requirements can vary based on:

  • Project Type: Single-family vs. multifamily certification criteria differ, with MFNC requirements applying to larger residential projects.
  • State Energy Codes: Some states have stricter energy efficiency mandates that align or exceed Energy Star 3.2 standards.
  • Public vs. Private Funding: Publicly funded projects often come with additional energy efficiency incentives or mandates for Energy Star compliance.

(Tip: Learn more state-specific policies:DOE Building Energy Codes Program.)

How many contractors are aware of Energy Star certification?

Awareness is reasonably high among major developers and energy-conscious builders, particularly in states offering strong efficiency incentives. However, many smaller contractors and developers remain unfamiliar with the process and benefits, presenting an opportunity for further education—especially on how geothermal HVAC can simplify certification.

(Tip: Learn how to become an Energy Star Partner: Energy Star Partner Resources

How does geothermal HVAC help builders achieve Energy Star certification?

Geothermal HVAC systems significantly improve energy efficiency by using stable underground temperatures to reduce heating and cooling loads. This helps builders meet Energy Star 3.2 standards in the following ways:

  • Lower HERS Index Scores: Geothermal HVAC cuts energy consumption, helping buildings stay within the required efficiency range.
  • Reduced Energy Costs: Energy Star prioritizes long-term operating cost savings, which geothermal systems provide.
  • Integration With Other Efficiency Measures: Geothermal pairs well with high-performance insulation, air sealing and energy recovery ventilation to optimize overall building efficiency.

What incentives drive builder interest in geothermal energy?

Several factors are driving increased builder interest in geothermal energy.

Many states and regions offer programs, such as tax credits, rebates or grants, to further encourage geothermal adoption by reducing the upfront costs to builders at the time of construction.

These local incentives, potential utility rebates and falling upfront costs create a feasible and more affordable path for builders and their customers to adopt geothermal heating and cooling.

Additionally, generous federal tax credits, including the Residential Clean Energy Tax Credit, part of the Inflation Reduction Act, offer homebuyers:

  • 30% for systems placed in service after Dec. 31, 2021, and before Jan. 1, 2033
  • 26% for systems placed in service after Dec. 31, 2032, and before Jan. 1, 2034
  • 22% for systems placed in service after Dec. 31, 2033, and before Jan. 1, 2035

What are the logistics of geothermal heating/cooling a multifamily building, whether constructing a new one or retrofitting an existing one?

Geothermal heating and cooling for a multifamily building can be a seamless and efficient process when planned early and integrated into the overall construction schedule. The first step is site qualification to determine the optimal layout for the heat exchanger (the “ground loop”), considering soil conditions, thermal conductivity, water table depth and other in-ground infrastructure the loop must not impact.

Once feasibility is confirmed, the system is designed and engineered as part of the mechanical, electrical and plumbing plans, ensuring smooth integration with other building systems.

Drilling and loop installation should be coordinated early in the project, allowing drilling and horizontal piping tie-ins to be completed with minimal disruption to other site activity. The installation process includes drilling vertical boreholes, installing piping and connecting the loop field to the building’s manifold system.

Planning for drilling spoils and water management ensures a clean and organized site, keeping construction moving efficiently. A central utility space may be designated for the manifold and flow center, distributing the geothermal energy to individual heat pumps.

Inside the building, piping runs are routed through chases, ceilings or mechanical rooms to connect each dwelling unit’s heat pump to the central manifold. Plumbing and electrical requirements, including fluid piping, pumps and electrical connections to each heat pump, are incorporated as part of the MEP scope.

The distribution system follows standard HVAC design and installation practices, whether ductwork for forced air or hydronic piping for radiant heating/cooling.

The ground loop is the key component, providing a renewable heat exchange source, while the interior mechanical systems are familiar to most HVAC contractors and align with conventional heating and cooling installations. With early coordination and thoughtful planning, geothermal heating and cooling enhances building performance, lowers operational costs and delivers long-term energy efficiency with minimal maintenance.

Can geothermal units easily be swapped out with older traditional units?

Existing builders or single-family homes can be retrofitted to accommodate geothermal heating and cooling systems. However, it is more complicated to do in a retrofit than ground-up new construction.

This can be an involved process because geothermal systems require underground pipes to exchange heat with the earth. Installing this loop involves digging or drilling, which can be disruptive and requires specialized equipment.

Moreover, geothermal units can often use existing ductwork, but some modifications might be necessary to optimize airflow for the new system.

The geothermal units are generally comparable in size to traditional units, but the ground loop system requires additional underground space.

How popular is geothermal heating and cooling amongst contractors today?

Geothermal heating and cooling systems are gaining popularity among contractors as awareness of the technology proliferates and financial incentives drive down the upfront costs of installation.

The Department of Energy notes that geothermal heating and cooling units could be installed in seven million homes by 2035, tripling the current U.S. installation base.

Contractors are recognizing the long-term benefits of geothermal heating and cooling as they leverage it as an opportunity to deliver the highest efficiency premium HVAC solution to their customers while building new homes that are less expensive to own. Builders are able to attract a broader base of customers looking to benefit from the value of renewable energy resources installed from the ground up and to establish themselves as leaders in sustainable building practices.

What is the likelihood of contractors building with geothermal energy going forward, considering the exacerbated demand for housing?

With the rising demand for housing and the growing emphasis on energy efficiency and sustainability, geothermal heating and cooling systems are becoming a more attractive option.

New construction is an especially opportune time to install geothermal systems because it eliminates many challenges and added costs associated with retrofitting existing homes while minimizing the building’s environmental footprint and equipping it with the most durable, cost-effective home heating and cooling solution from day one.

There is an urgent need to build more new homes. A growing percentage of these buildings will include geothermal heating and cooling solutions.

What is the permitting process for geothermal building?

Installing a geothermal system typically requires a simple state level drilling permit which is easily attained by a licensed driller. Beyond that, normal municipal construction permits need to be in place as with any other project. Typically these can take a month or more, depending on the locality.

Once permitting is secured, the installation proceeds in three phases.

First, the ground loop, the system’s heat exchange component, is installed. Then, the ground loops are connected to the home’s infrastructure. Finally, the heat pump itself is installed, completing the geothermal system.

What technology is required to set up and operate geothermal heating/cooling units?

Setting up and operating geothermal heating and cooling units involves several key technologies:

  • Ground Loop System: This is the heart of the geothermal system, consisting of pipes buried underground to exchange heat with the earth.
  • Heat Pump: The indoor unit, which contains the compressor, heat exchanger and controls, transfers heat between the ground and the home.
  • Distribution System: This system distributes the heated or cooled air throughout the home’s ductwork.

Has geothermal heating/cooling proven more attractive for building buyers?

Geothermal heating and cooling is becoming increasingly attractive to home and building buyers, driven by its compelling combination of durability, performance, efficiency and long-term cost savings.

Compared to traditional HVAC systems, geothermal systems offer superior temperature control, consistent comfort and reduced maintenance costs.

Growing awareness, available financial incentives and consumer demand make it more attractive for home and building buyers.

Will geothermal ever become mainstream or even mandatory?

Geothermal heating and cooling is already becoming a mainstream home heating and cooling solution for homeowners. Nearly 80% of Americans are stressed out about their energy bills, and consumers are looking for more affordable, sustainable solutions that will last.

Since heating and cooling are often people’s most expensive monthly bills, federal, state and local incentives make installing a geothermal system more affordable (or working with a contractor who will perform this work).

I expect geothermal heating and cooling to become more popular every year. However, I don’t think it will become mandatory. To be sure, some states and cities are mandating that new construction can’t include new natural gas lines, which will push builders and contractors to adopt electric-powered solutions, the most efficient of which is geothermal heating and cooling.

RESOURCES

SEE ALSO: SIMPLE STEPS TO ADVANCE YOUR LEED CERTIFICATION ASPIRATIONS

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News Briefs: May-June 2025 https://constructionexec.com/article/news-briefs-may-june-2025/?utm_source=rss&utm_medium=rss&utm_campaign=news-briefs-may-june-2025 Tue, 10 Jun 2025 12:00:00 +0000 https://constructionexec.com/article/news-briefs-may-june-2025/ ABC is entering the aerospace industry; equipment rental booms despite economic hindrance.

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ABC GOES TO SPACE

Associated Builders and Contractors Florida East Coast chapter, its training arm ABC Institute Apprenticeship College and Space Florida have signed a Memorandum of Understanding to bolster Florida’s construction workforce and support the growing aerospace industry. The partnership includes plans to develop a new regional headquarters on the Space Coast, serving as a hub for expanded training and workforce development. The MOU outlines joint efforts to advance skilled-trades education and innovation aligned with the state’s space economy.

ABCI, Florida’s largest apprenticeship education provider, offers debt-free training programs tailored to the construction and aerospace sectors. “This is a strategic alignment of two industries critical to Florida’s future,” says Peter Dyga, ABC FEC president and CEO. Rob Long, president and CEO of Space Florida, adds, “We’re committed to building an aerospace workforce to meet rising demand.” The initiative comes as Florida sees an increasing need for skilled labor in the aerospace, defense and advanced manufacturing sectors.

HIGH-RENT DISTRICT

The American Rental Association has released its updated forecast for the U.S. and Canadian equipment rental industries, showing continued growth despite economic headwinds. The U.S. construction and general tool rental industry ended 2024 at $83.3 billion—up 8% from 2023—and is projected to grow another 5.2% in 2025, reaching $87.5 billion. Growth is expected to moderate to around 4% in 2026 and 2027 due to cautious investment and high financing costs.

Still, the rental market is expected to grow at roughly twice the rate of GDP and inflation. Rental penetration for construction and industrial equipment reached a record 57% in 2024. In Canada, the market hit $5.73 billion in 2024 and is projected to grow to $5.95 billion in 2025, with even stronger growth anticipated in 2026 (7.2%) and 2027 (6.7%).

The industry supports 666,000 U.S. jobs, contributes $47.4 billion in wages and adds $115 billion to GDP through direct and indirect impacts.

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