Local construction companies eye use of AI, drones, robotics in 2025

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After four years of pandemic and post-pandemic challenges ranging from high interest rates to supply chain issues, the construction industry is poised for growth, according to ConstructConnect, which forecasts total U.S. nonresidential starts to grow at 6.9% and total residential starts at 12% in 2025.

We checked in with local professionals in the construction industry to find out how they’re feeling about the year ahead and what building trends they’re seeing on a local level.

“Overall, LeChase is very optimistic about 2025 in all of our markets, “said Kyle Sayers, president of LeChase Construction Services, which was founded in Rochester by Raymond LeChase in 1944. “We’re seeing great strength in our clients and our backlog is very strong. We’re very excited and encouraged about 2025 in general.”

Locally, Sayers notes, LeChase sees strength in multi-unit housing, as well as continued strength in the life sciences and health care, including the outpatient medical market.

“In western and central New York there continues to be a few mega projects that we continue to participate in and be involved with that are awesome for our region and whose benefits to the local economy and the construction industry are just remarkable and exciting,” Sayers said.

He notes supply chain issues for construction materials have for the most part stabilized.

“Even though a lot of the complicated parts and pieces of buildings today have much longer lead times than they used to, at least we’re in a predictable state right now where a manufacturer can give us credible data on when they’re going to get those parts and pieces with certainty,” Sayers said.

A growing industry trend Sayers looks forward to exploring deeper in the year ahead is the growing use of artificial intelligence. Figures from 360iResearch show the AI in construction market size was estimated at USD 1.52 billion in 2023, is expected to reach USD 1.92 billion by the close of 2024 and will hit USD 8.42 billion by 2030.

Among the many ways the construction industry is using AI are project management, quality control, job site safety, parametric design and drones that utilize AI software.

“We really want to understand the sweet spot for AI and the construction industry,” Sayers said. “We have a number of initiatives in our company present day that involve AI and we’re looking to continue to grow that. So, we’re investing heavily in people with that skill set and the technology that goes with it.”

Pike Construction Services, a fifth-generation construction company founded in Rochester in 1873 is also focusing on how to integrate AI into practice.

A few months ago, Pike published the report AI’s Transformative Impact on the Construction Industry which details the long-term gains of (AI) integration beyond immediate cost savings and efficiency improvements – such as more accurate project estimates; improved client satisfaction through timely deliveries; and innovation in safety and sustainability.

“Technology-wise, our wide use of drones and robotics in the field and making sure those tools are in our superintendents’ hands to use is also going to be a big drive for us in 2025,” said Ed Kurowski, the executive vice president of Pike Construction Services.

Another technology tool Kurowski plans to grow at Pike in the year ahead is the use of digital twins to enhance project visualization and decision-making. He explains that in the construction industry, a digital twin is a virtual model of a building that represents what the actual product is supposed to look like.

“We’re using digital twins out in the field to construct and make projects look exactly the same,” said Kurowski, who notes manufacturing has used the digital twin process for some time, but the construction industry has just begun to do so over the last five years.

Pike is also leaning on technology to bridge the experience gap between employees new to the field and those who are long-tenured individuals.

“We’re very excited about the year ahead,” Kurowski said. “In the first quarter of the year, we’re going to be starting a lot of projects that were delayed by the cost of the dollar.”

The biggest trend that Garett Schalge, owner of GLS Construction, is seeing in the region’s residential construction space heading into 2025 is a continued focus on cost.

“People are valuing their dollar more and looking for more bang for their buck,” said Schalge, who has worked in the construction industry for thirty years and opened his own business on the west side of Monroe County in 2023. “They want to know that what they’re spending their money on will have value to it and continue to hold its value.”

He notes that whether customers are looking to build or utilize GLS Construction’s other services like roofing, siding, flooring and windows, they’re increasingly focused on energy efficiency and making choices in materials that will help them save money in the long run.

At the same time, Schalge says that both commercial and residential customers increasingly want to see eco-friendly options and materials made with sustainable practices that reduce environmental impact.

“People want to see green,” Schalge said. “We’re seeing more companies market themselves as green companies. There are a few companies we use that have always been green but emphasize a little bit more now.”

Caurie Putnam is a Rochester-area freelance writer.