Maurice Regan on Construction Industry Challenges
Maurice Regan, President of JT Magen, recently shared his perspective on the construction industry’s outlook. He noted persistent challenges, including weak office demand and rising insurance costs fueled by litigation. Yet he also emphasized new opportunities, especially in data center development and potential housing agreements in New York that could revive multifamily and office-to-residential projects.
JT Magen weathered the pandemic with the support of a strong backlog, which carried the firm through uncertainty and allowed it to adapt as conditions changed. However, Regan stressed that today’s market requires a different kind of resilience. Office demand remains uncertain, discouraging new development, while insurance costs continue to strain project budgets.
Even with these pressures, Regan remains optimistic. He pointed to data centers as a growth engine, with demand increasing as companies expand digital infrastructure. Additionally, pending housing legislation in New York could unlock new multifamily projects and accelerate conversions, giving underused buildings fresh purpose.
Regan underscored the need for flexibility. He believes contractors must stay agile and pivot toward stronger sectors like housing and data centers. This adaptability, he argued, will define industry leaders in the years ahead.
Although the construction industry faces real headwinds, avenues for growth are emerging. With focus and strategic shifts, recovery is within reach. For JT Magen, the path forward rests on resilience, seizing opportunities, and continuing to build spaces that shape the future.
