The construction market

SWEDEN

Investments in new production of single homes and apartment buildings are expected to decrease in 2018 and 2019. Volumes in other building construction investments during the first half-year were somewhat lower than anticipated, primarily because industrial building construction slowed down. Development is now driven forward by new production and refurbishment of office and retail space as well as public premises. Above all development is driven by continued growth in employment, the low level of vacancies and the need to invest in public premises. Civil engineering investments are expected to grow at a good rate in 2018 and 2019 boosted in part by the latest infrastructure plan which indicates a higher level of ambition. All in all building construction investments are expected to contract in 2018 but develop sideways in 2019.

NORWAY

Housing construction investments in Norway declined during the first half-year. Most noticeably there was a sharp drop in new production of apartment buildings. The past three years of intense housing construction along with a slower than expected rate in population growth are believed to be the factors behind this development. On the other hand other building construction is expected to increase dramatically during 2018 with growth in all the included sectors. This upturn is driven by continued growth in the economy as a result of the recovery in the oil industry. Total building construction investments are expected to grow before they turn in 2019. Civil engineering investments are growing with the economy and this development is forecasted for 2018 and 2019.

FINLAND

The Finnish economy is developing at a good rate which means good conditions for the construction market. Willingness to invest is considerable and in housing the greatest increase is in ongoing new production and refurbishment of apartment buildings. Housing investments are expected to grow in 2019 and then develop sideways in 2020. Industrial investments have been particularly notable in other building construction and risen more than expected. In total other building construction investments are predicted to increase this year before they level out in 2019 and 2020 and together, all building construction investments are expected to grow in 2018 and 2019. Civil engineering investments do not follow the same trend as housing and other building construction. Instead they are forecasted to develop sideways in the coming years.

Housing

2018 2019 2020
Sweden
Norway
Finland

Forecast for started-up housing investments, new and renovations
Source: Industrifakta

Other building construction

2018 2019 2020
Sweden
Norway
Finland

Forecast for started-up other building construction investments, new and renovations (Industry, office/retail etc. and public premises)
Source: Industrifakta

Civil engineering

2018 2019 2020
Sweden
Norway
Finland

Forecast for civil engineering investments
Source: Industrifakta

Worse forecast compared to the previous quarterly report
Better forecast compared to the previous quarterly report
Same forecast compared to the previous quarterly report

Double track Hemfosa-Tungelsta

Västerhaninge