NASHVILLE, Tenn (WTVF) — Construction companies in Nashville are finding ways to navigate increasing costs as tariffs on essential building materials like metal, steel, lumber, and aluminum drive up prices for new projects.
Despite the rising costs, construction continues to boom in Nashville, with companies focusing on strategic planning to manage the financial impact of tariffs.
"In Nashville, one of the cool feature projects that we've done recently is the JBJ bar downtown on Broadway. But we also work in the healthcare sector, advanced technology, higher education, and corporate office space," said Stephanie Wigger at DPR Construction.
Wigger said adaptability is key in the current environment.
"During COVID, we had trouble sourcing materials, and right now, we're in this fair conversation, we can source materials. It's just a matter of what the cost will be and what the cost delta will be from what maybe the client predicted," she said.
The construction industry is now dealing with tariffs on various imported materials, from drywall from Mexico to steel from China.
"We're able to get the material here. It's just a matter of, what are you paying for the material? We really have to dissect that on a project level to see what products are being implicated by the tariffs and when they're being affected by the tariffs," Wigger said.
Despite these challenges, construction projects continue to move forward.
"We're seeing clients moving forward with projects that they have planned, but just being more considerate about how to treat tariff implications during the cost procurement phase of the project," she said.
Wigger emphasized that preparation is essential to avoid surprises.
"There's several different strategies we can take to cover those potential premiums and work with the client on deciding what the right contingencies are to consider ahead of breaking ground on a project," she said.
Companies like DPR Construction are implementing strategies such as early purchasing and contingency planning to manage costs effectively.
"We're able to be more educated about materials, where they're coming from, who they're coming from, when they're coming and that allows us to be able to educate our clients and to make well informed cost decisions for each project," Wigger said.
DPR Construction utilizes a national supply chain management team that gathers information from vendors and suppliers across the country on various projects to help navigate these challenges.
This story was reported and written by <i>Kelsey Gibbs</i> and has been converted to this platform with the assistance of AI. Our editorial team verifies all reporting on all platforms for fairness and accuracy.
Happy Birthday to the YMCA of Middle TN. They just celebrated their 150th anniversary! A lot has changed with the Y over the years. I have personally seen some of that firsthand when I was a long-time board member at the Northwest Family Y and part of their Black Achievers Program. Forrest Sanders has a look back.
- Lelan Statom
