TENNESSEE - A new study by Texas-based construction company Twisted Nail shows which U.S. states are spending the most money on commercial construction. Tennessee ranks 9th in total spending and 11th in spending per person. Tennessee spent over $14 billion on commercial construction in 2023, which equals $1,974 per person. That’s a 103.5% increase over the last five years, showing strong growth in the state’s construction industry.
Across the country, commercial construction is growing fast again. After the 2008 recession and a drop during the COVID-19 pandemic, spending is now at its highest level in over 20 years—more than $740 billion. Most of the growth is in areas like manufacturing, warehouses, and clean energy. Projects like new factories and storage centers are popping up in fast-growing states, especially in the South and Southwest. States like Texas and Arizona are leading the way.
However, not all sectors are growing. Spending on office buildings and hotels is still down because of changing work habits and travel patterns after the pandemic.
Looking ahead, construction trends will depend on government policies, tariffs, and the cost of materials. New federal projects could keep boosting the industry, but higher costs or changes in leadership might slow it down.
Tennessee's growth in construction shows it’s becoming a top spot for new business development and job opportunities.
Here is a summary of the data for Tennessee:
- Per-capita commercial construction spending: $1,974
- Total commercial construction spending: $14,067,000,000
- 5-year change in commercial construction spending: +103.5%
- 5-year change in commercial construction spending (adjusted): +67.7%
- 5-year change in population: +5.3%
Local Construction Projects: In Rutherford County, construction projects continue to grow. For anyone planning a commercial venture that involves new construction, the process typically begins with grading the land—which may require a meeting with county officials. To schedule a meeting, a pre-construction form must be completed before an appointment can be made. For more details, Click Here.
