TRG | The Bottom Line – 9/4

TRG recently spoke with a large non-res construction general contractor who primarily plays in large projects, with a significant presence in the data center market. The split market (great in large projects, stuck in neutral for local markets) still defines the market. Like we’ve heard from other large GCs, our contact said they are saying “no” more than ever, being fully booked. Some markets, like data centers and stadiums, have backlogs that support good results into 2029. Nashville offers a visible example of that strength, with the new Nissan Stadium reflecting the scale of large, multi-year projects continuing to support activity in select non-residential end markets.

This firm’s large hyperscaler customers are asking this GC to do more work for them. This particular GC says “no” quite often given their backlogs are full and they want to remain disciplined on having a diverse portfolio of work. Large hyperscalers have a limited set of GCs they are comfortable working with and the large GCs are staying disciplined as they take on new projects.