Construction costs are still rising in 2026.
But the bigger risk is not one material spike.
It is the cost stack.
Higher baseline costs. Inputs. Labor. Energy. Freight. Long lead items. And more projects are fighting for the same limited pool of skilled labor.
For developers, the question is simple:
Can your project move fast enough to stay ahead of it?
Costs Are Still Rising From a Higher Baseline
Turner’s Q1 2026 Building Cost Index reached 1530 points, rising from both last quarter and last year. The index tracks nonresidential construction costs, including labor, productivity, materials, and market competition.
April Confirms a Fast 2026 Cost Climb
The Associated Builders and Contractors analysis of BLS Producer Price Index data shows that construction input prices rose 6.2% during the first four months of 2026, more than the increase seen over the prior three years combined.
April added to that climb. Overall construction input prices rose 1.7% in April 2026, while nonresidential construction input prices rose 1.8%.
Year over year, overall construction inputs were 7.0% higher, and nonresidential construction inputs were 7.4% higher.
Material Prices Are Moving Again
Those rising input costs are also reflected in key building materials that directly shape project budgets, making early design and pricing decisions even more important.
Cost Control Starts Earlier
In 2026, cost control cannot be treated as a late-stage consideration.
That is where BASE4 helps developers stay ahead:
- Architecture, structural, MEP, interiors, and visualization in-house
- Early structural system review
- MEP coordination before pricing locks
- Electrical gear and long lead item planning
- Procurement-aware material selections
- 100% Revit and 3D coordination
- Faster documentation for quicker pricing
- Value engineering before late redesign
The goal: price faster, coordinate better, and protect the budget before cost pressure reaches the jobsite.
Thank you,
Blair Hildahl
BASE4 Principal
608.304.5228
BlairH@base-4.com
