United States Facility Management Market Size
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| Market Size (2024) | USD 283.27 Billion |
| Market Size (2029) | USD 380.34 Billion |
| CAGR (2024 - 2029) | 6.07 % |
| Market Concentration | Low |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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United States Facility Management Market Analysis
The United States Facility Management Market size is estimated at USD 283.27 billion in 2024, and is expected to reach USD 380.34 billion by 2029, growing at a CAGR of 6.07% during the forecast period (2024-2029).
The surge in demand for various customized solutions for different in-house and outsourced facility management is one of the significant factors driving the growth of the facility management service market in the United States.
- The growing number of residential and commercial buildings in major cities is enhancing the overall need for facility management services throughout the country. With an increase in focus on integrated facility management services and the rising developments in the infrastructure, the market is expected to experience a positive impact.
- To comply with the changing technological age, tools like robot facility monitoring and augmented reality that are integrated with IoT are steadily increasing in the country. Hence, more and more software providers are now committed to innovation, making room for AI and robotics in the facility management market.
- In March 2023, ABM, a provider of facility services, infrastructure solutions, and parking management, signed a multi-year agreement to provide first-class housekeeping solutions and to manage day-to-day and event staffing for Tropicana Field and Al Lang Stadium. With this partnership, ABM would serve as a single source for deploying a professional workforce that is mainly dedicated to delivering janitorial services that augment the fan experience across over one million square feet of stadium space at the venues.
- According to the US Census Bureau, total construction spending in November 2023 was estimated at a seasonally adjusted annual rate of approximately USD 2,050.1 billion, up by 0.4% from October's revised figure of USD 2,042.5 billion. This rise in overall construction spending is expected to amplify the market's growth opportunities significantly.
- One of the key factors limiting the growth of this market is safety concerns related to device and network security. A growing number of security breaches and the increased threats posed by organized crime groups are expected to hamper the market's growth throughout the forecast period.
United States Facility Management Market Trends
Increasing Investments in Healthcare Infrastructure and the Construction of Healthcare Facilities
- Due to a growing number of patients and higher healthcare expenditures by the public and private players, healthcare has become one of the most important sectors within the United States. It is estimated that national healthcare spending will increase at an annual rate of 5.5% from 2018 to 2027 in the United States, reaching approximately USD 6 trillion, according to data provided by the Centers for Medicaid Services and Medicare.
- The extraordinary growth in healthcare spending led to the development of a number of different types of care facilities at hospitals and clinics. In addition, the outsourcing of facility management services by healthcare sectors, such as nursing homes, hospitals, and third-party professionals, has significantly increased in the United States. As a result, the demand for facility management services in the healthcare industry has increased.
- Healthcare facilities generate a large volume of both hazardous and non-hazardous waste daily. The quality of patient care may be compromised by hazardous waste if not properly handled. It may cause environmental pollution and the spread of infections.
- In the United States, Medxcel is one of the biggest and most respected providers of healthcare facility services. Over the past four years, Medxcel has provided customers with savings of USD 80 million on facility management expenditures.
- As per the Population Reference Bureau's Population Bulletin, "Aging in the United States," the overall number of Americans who are aged 65 and above is predicted to reach around 95 million by 2060. The majority of elders face mental illnesses, chronic diseases, injuries, and disabilities. The healthcare sector in the United States is under pressure to provide quality care services, high-technology healthcare equipment, and respond to new consumer preferences.
Commercial Segment to Drive Major Market Demand
- Commercial construction is mainly for the purpose of business through new buildings like offices or a new industrial facility. A service provider mainly provides the entire basic infrastructure of the building, which includes maintenance of lifts, building repair, cleaning of windows, painting, and care of doors, ceilings, and many more.
- In the workplace, smart building technology also plays a key role in assisting facilities managers in building a more energy-efficient, comfortable environment, managing building assets and systems, and planning for future needs.
- In November 2023, Matterport Inc., the 3D digital twin platform provider for the built world, and Belden Inc., a worldwide supplier of network infrastructure and digitization solutions, signed a new partnership with the aim to provide 3D digital twin-powered connectivity solutions for facilities management across industrial automation, smart buildings, broadband, and many others.
- Flexible workspaces with sustainable IT infrastructure have grown significantly in the northeastern United States over the years. The region has the cleanest mechanisms, programs, and policies that augment the adoption of green technology. The US professional cleaning services are experiencing tremendous growth on account of the amplified popularity of "green cleaning technology." The use of sustainable washing agents, which involve special chemicals, equipment, and techniques, is a key factor aiding the overall growth of the market.
- The prime responsibility for facilities management in the retail sector involves keeping the store area clean, safe, and attractive. The retail clients of NEST stated that they received more foot traffic than expected during the COVID-19 pandemic. NEST manages 60,000 retail locations throughout the United States and Canada, with the majority in the United States, and provides an integrated solution that pairs financial acumen and business analytics with an overall consultative approach for both reactive and preventative maintenance.
United States Facility Management Industry Overview
The US facility management market is fragmented owing to the presence of major local and global players. The growing demand for facility management services is expected to attract more players, which will intensify the competition. Compass Group PLC, Sodexo Inc., CBRE Group Inc., Ingersoll Rand (Trane), Ecolab, ISS Facilities Services Inc., G4S PLC, Jones Lang LaSalle Incorporated (JLL), EMCOR Group Inc., and Cushman & Wakefield are some of the notable players in the market.
- In January 2024, CBRE Group Inc. and Brookfield Properties announced a strategic partnership that leverages the combined power of both firms to drive tenant satisfaction and property performance. The partnership will allow CBRE and Brookfield Properties to provide one another with a full range of real estate management services for more than 65 million square feet of office space in the United States, which include construction operations, property accounting, procurement work, and technology support.
- In January 2024, Nuvama Asset Management, the alternatives-focused asset management arm of Nuvama Wealth Management Ltd and Cushman & Wakefield, announced the formation of a new 50:50 joint venture entity, Nuvama and Cushman & Wakefield Management Private Limited (“NCW”). The new entity will act as a powerful platform offering a full suite of capabilities for investing in commercial real estate.
United States Facility Management Market Leaders
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CBRE Group, Inc.
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Jones Lang LaSalle Incorporated
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Cushman & Wakefield plc
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Emeric Facility Services
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SMI Facility Services
*Disclaimer: Major Players sorted in no particular order
United States Facility Management Market News
- February 2024: CBRE Group Inc. and Arlington Capital Partners announced CBRE's completion of its acquisition of J&J Worldwide Services. The acquisition was consistent with key elements of the company’s M&A strategy that focus on enhancing its technical services capabilities, increasing revenue resilience and secular growth, and expanding the government client base within its Global Workplace Solutions segment.
- July 2023: ECM Holding Group Inc., a Wisconsin-based provider of energy efficiency retrofit services, was acquired by EMCOR Group Inc. The group believes that adding ECM will further strengthen its position in the field of energy efficiency specialty services and broaden the scope of its nationwide portfolio of bundled energy conservation and sustainability solutions.
United States Facility Management Market Report - Table of Contents
1. INTRODUCTION
- 1.1 Study Assumptions and Market Definition
- 1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET INSIGHTS
- 4.1 Market Overview
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4.2 Industry Attractiveness - Porter's Five Force Analysis
- 4.2.1 Bargaining Power of Suppliers
- 4.2.2 Bargaining Power of Buyers/Consumers
- 4.2.3 Threat of New Entrants
- 4.2.4 Threat of Substitute Products
- 4.2.5 Intensity of Competitive Rivalry
- 4.3 Impact of Macro-Economic Factors on the Industry
5. MARKET DYNAMICS
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5.1 Market Drivers
- 5.1.1 Increasing Investments in Healthcare Infrastructure and the Construction of Healthcare Facilities in the United States
- 5.1.2 Requirement of Building Information Modeling (BIM) in Commercial Buildings
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5.2 Market Restraints
- 5.2.1 Increased instances of Data Breaches and Security Threats
6. MARKET SEGMENTATION
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6.1 By Type of Facility Management Type
- 6.1.1 Inhouse Facility Management
- 6.1.2 Outsourced Facility Mangement
- 6.1.2.1 Single FM
- 6.1.2.2 Bundled FM
- 6.1.2.3 Integrated FM
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6.2 By Offerings
- 6.2.1 Hard FM
- 6.2.2 Soft FM
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6.3 By End User
- 6.3.1 Commercial
- 6.3.2 Institutional
- 6.3.3 Public/Infrastructure
- 6.3.4 Industrial
- 6.3.5 Other End Users
7. COMPETITIVE LANDSCAPE
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7.1 Company Profiles
- 7.1.1 CBRE Group Inc.
- 7.1.2 Jones Lang LaSalle Incorporated
- 7.1.3 Cushman & Wakefield PLC
- 7.1.4 Emeric Facility Services
- 7.1.5 SMI Facility Services
- 7.1.6 Sodexo Inc.
- 7.1.7 AHI Facility Services Inc.
- 7.1.8 ISS Facility Services Inc.
- 7.1.9 Shine Management & Facility Services
- 7.1.10 Guardian Service Industries Inc.
- *List Not Exhaustive
8. INVESTMENT ANALYSIS
9. FUTURE OUTLOOK OF THE MARKET
United States Facility Management Industry Segmentation
Facility management (FM) is a profession that incorporates a broad range of disciplines to ensure functionality, safety, comfort, and efficiency of the built environment by integrating people, processes, places, and technology. FM contributes to the business's bottom line through its responsibility for maintaining an organization's most significant and most valuable assets, such as property, equipment, buildings, and other environments that house personnel, productivity, inventory, and other elements of the operation. Facility management services involve the management of building upkeep, utilities, maintenance operations, waste services, security, etc. These services are further divided into hard facility management services and soft facility management services.
The US facility management market is segmented by type of facility management (in-house facility management and outsourced facility management [single FM, bundled FM, integrated FM]), offering type (hard FM and soft FM), and end-user (commercial, institutional, public/infrastructure, and industrial). The market sizes and forecasts are provided in terms of value (USD) for all the above segments.
| By Type of Facility Management Type | Inhouse Facility Management | |
| Outsourced Facility Mangement | Single FM | |
| Bundled FM | ||
| Integrated FM | ||
| By Offerings | Hard FM | |
| Soft FM | ||
| By End User | Commercial | |
| Institutional | ||
| Public/Infrastructure | ||
| Industrial | ||
| Other End Users |
United States Facility Management Market Research FAQs
How big is the United States Facility Management Market?
The United States Facility Management Market size is expected to reach USD 283.27 billion in 2024 and grow at a CAGR of 6.07% to reach USD 380.34 billion by 2029.
What is the current United States Facility Management Market size?
In 2024, the United States Facility Management Market size is expected to reach USD 283.27 billion.
Who are the key players in United States Facility Management Market?
CBRE Group, Inc., Jones Lang LaSalle Incorporated, Cushman & Wakefield plc, Emeric Facility Services and SMI Facility Services are the major companies operating in the United States Facility Management Market.
What years does this United States Facility Management Market cover, and what was the market size in 2023?
In 2023, the United States Facility Management Market size was estimated at USD 266.08 billion. The report covers the United States Facility Management Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the United States Facility Management Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
United States Facility Management Industry Report
Statistics for the 2024 United States Facility Management market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. United States Facility Management analysis includes a market forecast outlook to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
