Market Size of GCC Prefabricated Housing Industry
Study Period | 2019-2029 |
Base Year For Estimation | 2023 |
Market Size (2024) | USD 13.39 Billion |
Market Size (2029) | USD 21.20 Billion |
CAGR (2024 - 2029) | 9.63 % |
Market Concentration | Low |
Major Players*Disclaimer: Major Players sorted in no particular order |
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GCC Prefabricated Housing Market Analysis
The GCC Prefabricated Housing Market size is estimated at USD 13.39 billion in 2024, and is expected to reach USD 21.20 billion by 2029, growing at a CAGR of 9.63% during the forecast period (2024-2029).
- The market is growing because the government has strong plans for economic diversification. These plans include developing and diversifying the economy and releasing its growth potential. The ultimate goal is to promote development and competitiveness by increasing government spending on key non-oil sectors and encouraging private investments. The market is driven by the increasing construction activities across the region and the lack of affordable housing for migrants working on ongoing development projects in the GCC region.
- The COVID-19 outbreak had a big effect on the industry of building prefabricated homes in the GCC. The pandemic impacted growth across key sectors over the short to medium term, and recovery was expected to be slow. The spread of COVID-19 hit the prefabricated housing construction industry in Kuwait very hard. In 2020, the number of building permits wills dropped by 40%. Official data showed permits for private residential buildings dipped by around 46% in the first 10 months of 2020, as compared with the same period in 2019.
- There aren't enough affordable homes being built in Saudi Arabia because the country's population is growing, and more people are moving there. This has encouraged the demand for prefabricated homes, as they are cost-effective and time-efficient. Moreover, energy efficiency, design flexibility, and faster completion are some of the other advantages of prefabricated buildings, which are anticipated to drive market growth.
GCC Prefabricated Housing Industry Segmentation
Prefabricated homes, often referred to as prefab homes, are primarily manufactured in advance off-site, then delivered and assembled on-site.
A comprehensive background analysis of the GCC prefabricated housing market, covering the current market trends, restraints, technological updates, and detailed information on various segments and the competitive landscape of the industry. The impact of COVID-19 has also been incorporated and considered during the study.
The GCC prefabricated housing market is segmented by type (single family and multifamily) and by geography (Saudi Arabia, the United Arab Emirates, Qatar, and the Rest of the GCC).
The report offers market size and forecasts for the GCC prefabricated housing market in terms of value (USD) for all the above segments.
By Type | |
Single Family | |
Multi Family |
By Country | |
Saudi Arabia | |
United Arab Emirates | |
Qatar | |
Rest of GCC |
GCC Prefabricated Housing Market Size Summary
The GCC prefabricated housing market is poised for significant growth, driven by government initiatives aimed at economic diversification and increased investment in non-oil sectors. The region's rapid population growth and urbanization have created a pressing demand for affordable housing, particularly for migrants involved in ongoing construction projects. Prefabricated homes offer a viable solution due to their cost-effectiveness, energy efficiency, and faster construction times compared to traditional building methods. This demand is further bolstered by government support and strategic projects across the GCC, such as the Red Sea project in Saudi Arabia and developments in Qatar and Abu Dhabi, which are set to include thousands of prefabricated homes.
The market landscape is characterized by a mix of international and domestic players, with companies like Strabag Dubai LLC, Albaddad International, and Speed House Group of Companies leading the charge. Despite the challenges posed by high capital requirements and technological advancements, the market is expected to expand as investments in prefabricated building projects increase. Saudi Arabia, in particular, is focusing on infrastructural reforms and homeownership strategies as part of its Vision 2030, with initiatives like the Real Estate Development Fund and partnerships with companies such as Katerra to boost local manufacturing capabilities. The fragmented nature of the market presents opportunities for growth and competition, as major players continue to invest in the region's burgeoning construction industry.
GCC Prefabricated Housing Market Size - Table of Contents
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1. MARKET INSIGHTS
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1.1 Current Market Scenario
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1.2 Technological Trends
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1.3 Insights on Supply Chain/Value Chain Analysis of the Prefabricated Housing Industry
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1.4 Cost Structure Analysis of the Prefabricated Housing Industry
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1.5 Impact of COVID-19 on the Market
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1.6 Insights on Different Types of Materials Used in Prefabricated Housing Construction
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2. MARKET SEGMENTATION
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2.1 By Type
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2.1.1 Single Family
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2.1.2 Multi Family
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2.2 By Country
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2.2.1 Saudi Arabia
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2.2.2 United Arab Emirates
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2.2.3 Qatar
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2.2.4 Rest of GCC
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GCC Prefabricated Housing Market Size FAQs
How big is the GCC Prefabricated Housing Market?
The GCC Prefabricated Housing Market size is expected to reach USD 13.39 billion in 2024 and grow at a CAGR of 9.63% to reach USD 21.20 billion by 2029.
What is the current GCC Prefabricated Housing Market size?
In 2024, the GCC Prefabricated Housing Market size is expected to reach USD 13.39 billion.