Seattle’s construction market experienced a measured 2.37 percent cost increase in the second quarter of 2025, positioning the Pacific Northwest hub near the middle of national markets as the industry navigates ongoing trade uncertainty and labor market adjustments. The Emerald City’s performance tracked closely with national trends, where nonresidential construction costs climbed 2.72 percent for the quarter, according to the Mortenson Quarterly Cost Index. Seattle’s annual cost growth of 5.9 percent slightly outpaced the national average of 5.42 percent, reflecting persistent inflationary pressures in one of the nation’s most active construction markets.

The cost increases come as Seattle’s construction employment faces more significant headwinds than many peer markets. Building constru

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