• Home
  • About Us
  • Subscribe
  • Advertise
  • Newsroom
  • Sign In
  • Create Account
  • Sign Out
  • My Account
  • Current Issue
    • Latest News
    • Special Report
    • Up Close
    • Opinion
  • News by Sector
    • Real Estate & Construction
    • Banking & Finance
    • Health Care
    • Education & Talent
    • North Idaho
    • Technology
    • Manufacturing
    • Retail
    • Government
  • Roundups & Features
    • Calendar
    • People
    • Business Licenses
    • Q&A Profiles
    • Cranes & Elevators
    • Retrospective
    • Insights
    • Restaurants & Retail
  • Supplements & Magazines
    • Book of Lists
    • Building the INW
    • Market Fact Book
    • Economic Forecast
    • Best Places to Work
    • Partner Publications
  • E-Edition
  • Journal Events
    • Elevating the Conversation
    • Workforce Summit
    • Icons
    • Women in Leadership
    • Rising Stars
    • Best Places to Work
    • People of Influence
    • Business of the Year Awards
  • Podcasts
  • Sponsored
Home » Construction activity likely to be strong in 2021

Construction activity likely to be strong in 2021

Labor, supply shortages kneecap builders' efforts to meet high demand

Natasha Nellis
Natasha Nellis
December 17, 2020
Natasha Nellis

The 2020 construction season got off to a slow start because of pandemic-induced restrictions. Overall, though, industry observers here say the season finished better than expected, and 2021 is expected to even better.

About $30 million in public work is expected to continue into next year in the city, Marlene Feist, public works director of strategic development for the city of Spokane says. An additional $50 million in new work is also on the slate, including a $10 million investment package in street maintenance that will be delivered through 2021.

Major projects next year include the replacement of the deck on the Hatch Road Bridge, the next stage of rebuilding Sprague Avenue from Division Street to Grant Street, and work on the Cochran Basin, which will include infiltration of the stormwater in the basin. Water from the basin will be used on the Downriver Disc Golf Course for water features, says Feist. Other improvements will be made to T.J. Meenach Drive and the traditional Downriver Golf Course as part of the project.

The largest continuing project is the $18 million rebuild of the Post Street Bridge. An additional $15 million in water tank installations could also occur on the South Hill and near the Spokane International Airport, Feist says, though those projects are dependent on finding a suitable site and finishing additional permitting requirements.

On the residential side, Joel White, executive officer of the Spokane Home Builders Association, says builders are struggling to keep up with the demand.

Labor continues to be a hurdle, he contends. Construction companies saw a brief shutdown in March that saw several layoffs, and many workers declined to return to the workforce once the industry was allowed to restart work a few weeks following the shutdown, White says.

Additionally, supply chain disruptions made building materials, especially lumber, skyrocket in price in June, he says. Those price hikes drove up the cost of new homes, he says.

Through the first 11 months of 2019, 1,446 single family homes were permitted in Spokane County. This year has seen a marked decline, with 1,182 single family homes being permitted. However, White says, more multifamily buildings and duplexes were built this year than last.

In commercial construction, Cheryl Stewart, executive director of the Associated General Contractors Inland Northwest chapter, says she expects to see a decrease in public works projects as local governments grapple with smaller budgets.

She notes there are several big-budget transportation projects slated to begin this year, including large freeway projects and the continuation of the North Spokane Corridor.

Stewart says she expects to see fewer retail structures being built in the near future, while manufacturing and multifamily work will remain steady or grow.

Jim Frank, founder of Liberty Lake-based Greenstone Homes, says in-migration will continue to drive up demand for residential construction in Spokane and Kootenai counties. Frank says he expects to see strength in the medical and office space markets; however, he adds, retail is expected to take a major hit as the pandemic accelerates trends toward online buying.

    Latest News Special Report Real Estate & Construction
    • Related Articles

      Construction workers likely to be injured

      2016 looks to be another strong construction year

      School construction activity here eases, but still strong

    • Related Products

      Book of Lists - Digital Version - Top 20 Spokane-Area Construction Projects

      Book of Lists - Digital Version - In-Home Care Providers

    Natasha Nellis

    2019 Rising Stars: Mary McDirmid

    More from this author
    Daily News Updates

    Subscribe today to our free E-Newsletters!

    SUBSCRIBE

    Featured Poll

    Going into the second half of 2025, what economic factor will you be monitoring most closely?

    Popular Articles

    • Five below store exterior 1 web
      By Dylan Harris

      Five Below plans new store in Spokane Valley

    • Rite aid3 web
      By Journal of Business Staff

      Two Spokane Rite Aid stores to close

    • Nine mile31 web
      By Tina Sulzle

      Former tech executive buys Nine Mile Feed & Hardware

    • Hillyard91 web
      By Karina Elias

      Hillyard gets creative: Spokane's first designated arts district emerges

    • Cat tales13 web
      By Karina Elias

      What's Going on with: Cat Tales Wildlife Center

    • News Content
      • News
      • Special Report
      • Up Close
      • Roundups & Features
      • Opinion
    • More Content
      • E-Edition
      • E-Mail Newsletters
      • Newsroom
      • Special Publications
      • Partner Publications
    • Customer Service
      • Editorial Calendar
      • Our Readers
      • Advertising
      • Subscriptions
      • Media Kit
    • Other Links
      • About Us
      • Contact Us
      • Journal Events
      • Privacy Policy
      • Tri-Cities Publications

    Journal of Business BBB Business Review allianceLogo.jpg CVC_Logo-1_small.jpg

    All content copyright ©  2025 by the Journal of Business and Northwest Business Press Inc. All rights reserved.

    Design, CMS, Hosting & Web Development :: ePublishing