Greenfield construction cost for developers up 5-7% in Q3 2022: Report

Labour cost increased 8-10% and reinforcement steel prices went up about 20%, says study scanning cities

Greenfield construction costs for real estate companies in India increased 5-7 per cent year-on-year (Y-o-Y) in the third quarter of this calendar year, said a report on Thursday.

The impact of the pandemic, global shipping costs and supply chain bottlenecks increased material costs, said the report by international real estate firm CBRE.

Labour cost increased by 8-10 per cent and reinforcement steel prices went up about 20 per cent Y-o-Y in Q3 2022. 

Some supply chain disruptions have been resolved and price pressures have reduced: a trend expected to continue till the end of this year. “Cost pressures are likely