Investment in health care, education, aviation, infrastructure and technology is driving growth across the St. Louis construction market, shifting the industry’s focus from finding work to determining how to deliver an expanding pipeline of large, complex projects, says Mike Yazbec, president of S.M. Wilson & Co. The firm, founded in 1921, has offices in St. Louis and Edwardsville, Ill.
Among the developments creating long-term opportunities are the $3-billion modernization of St. Louis Lambert International Airport, hyperscale data centers and continued health care investment. Together with activity in education, manufacturing, industrial, municipal and commercial construction, those projects have positioned St. Louis for continued growth over the next 12 to 24 months, he says.
“St. Louis is in a unique position,” Yazbec says. “We are seeing major investments across health care, education, aviation, infrastructure and technology, all occurring at the same time.”
That range of projects is also one of the market’s key strengths. Unlike regions that depend heavily on one type of development, he says St. Louis draws construction demand from a balanced group of public and private sectors. He says that diversity gives the market greater resilience when activity in individual sectors rises or falls.
“The St. Louis construction market is healthy and well-positioned for continued growth,” Yazbec says. “One of our greatest strengths is its diversity.”
But the volume of planned and active work is creating significant capacity challenges. Owners are competing for skilled workers, specialized trade contractors and design professionals. Labor constraints are particularly pronounced in the electrical and mechanical trades, where shortages continue to grow.
As a result, Yazbec says industry discussions have evolved.
“The conversation within the AEC industry has shifted from where is the next project coming from to how do we successfully deliver all of these projects,” Yazbec says.
The issue affects project budgets, schedules, procurement decisions and the availability of qualified teams. Yazbec says the industry’s key task will be delivering the work while preserving the quality, safety and predictability owners expect.
Early collaboration among owners, designers and contractors is emerging as a critical response, especially as projects increase in size and complexity. Yazbec says owners are bringing contractors into the planning process sooner, which allows project teams to validate budgets, assess schedules, identify procurement risks and improve constructibility before work begins.
Such early engagement can reduce uncertainty and give owners greater confidence in costs and schedules. It also allows teams to identify potential problems before they become expensive disruptions during construction.
“For project owners, early planning has never been more important,” he says. “Engaging design and construction partners earlier allows teams to establish realistic budgets, evaluate procurement strategies, mitigate risks and make informed decisions before construction begins.”
The stakes extend beyond individual projects. He says current trends will influence regional economic development, employment opportunities and St. Louis’ ability to remain competitive as a destination for investment and innovation. Transformational projects moving from planning into construction are expected to create opportunities across the supply chain and support the broader economy.
Yazbec says sustaining construction momentum will require attracting and training a new generation of skilled professionals.
That effort will depend on continued support for apprenticeships, technical education and career-awareness programs, along with partnerships involving schools, colleges and community organizations. Industry leaders must also communicate the availability of rewarding, high-paying construction careers to students, parents and educators.
While Yazbec expects the next 12 to 24 months to bring strong demand as major investments advance into construction, he says the same opportunities could intensify competition for labor, design capacity and specialized contractors.
“The greatest challenge is ensuring our industry has the capacity to deliver work while maintaining the quality, safety and certainty owners expect,” Yazbec says.
Nonetheless, his outlook is upbeat. “The opportunity before us is not simply to build more projects,” Yazbec says. “It is to build a stronger construction industry by investing in our people, embracing collaboration and delivering projects that create lasting value for our communities.”
“The St. Louis construction market is healthy and well-positioned for continued growth,” Yazbec says. “One of our greatest strengths is diversity.”