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- London falls to second place; Zurich, Munich, and NYC round out the top five most expensive cities.
- Labor shortages and regulatory complexity fuel cost escalation as new global dynamics shape development realities.
- Bright spots emerge in growth areas such as energy infrastructure and data centers as clients reallocate global resources to meet shifting demand.
- Public spending set to boost demand in healthcare and defense.
- Arcadis urges proactive design and planning to unlock project viability.
AMSTERDAM, May 13, 2025 /PRNewswire/ -- Geneva has once again overtaken London as the most expensive city in the world in which to build, according to the latest Arcadis International Construction Costs (ICC) Report, released today. Closely followed by Zurich (third), Munich (fourth) and New York City (fifth), the report highlights continued pressure on construction costs across major urban centers in Europe and North America, reflecting high demand, labor constraints and complex regulatory environments.
The report underscores that while inflation has eased in some regions, particularly in major US cities such as New York and San Francisco, long-term borrowing costs, geopolitical uncertainty, and shifting trade policies are reshaping the investment landscape. Yet even amidst this volatility, Arcadis emphasizes that a proactive and well-informed approach to design and specification can still unlock value and ensure project delivery.
Arcadis notes that growth opportunities remain strong in key sectors such as data centers, healthcare, and social infrastructure such as education and healthcare, despite persistent inflation in certain geographies such as Australia, Eastern Europe, and parts of Asia.
The annual Arcadis International Construction Costs index covers 100 of the world's large cities across six continents. The cost comparison was developed covering twenty different building types, including residential, commercial, and public sector developments, and is based on a survey of construction costs, a review of market conditions and the professional judgement of Arcadis' global team of experts. The calculations are based in USD and indexed against the price range for each building type relative to Amsterdam.
Juud Tempelman, Global President of Places at Arcadis, said: "Change drives opportunity and, in a world of rising complexity and constrained capital, the most successful projects are those that combine visionary ideas with robust planning and adaptable design. Even in challenging times, construction markets are diverse, and some areas can be expected to boom. From advanced manufacturing in the US, to energy transition programs in the UK and Europe, we are seeing the reallocation of resources to meet shifting demand. With the right brief, aligned to real market needs and supported by collaborative design and digital maturity, we can unlock viability and deliver lasting success."
Arcadis outlines four important considerations for managing construction risk and maximizing project value in the current environment:
- Design for Long-Term Value: Focus on buildings that are adaptable, energy-efficient, and designed for evolving user needs. This was a key factor in Arcadis' approach to the design of River Grove Elementary School in Portland, Oregon. The building needed to be adaptable, energy-efficient, and resilient in the face of extreme weather events. By incorporating a microgrid system, which includes a photovoltaic array, battery storage, and generator to ensure independence from the grid during disasters, the new school embraces resilience and carbon neutrality, and can still function as an effective learning environment in an increasingly hot and wildfire-prone region.
- Design for Certainty: Leverage knowledge of the asset, the location and its market to ensure that a scheme represents the best development that can be delivered. Parametric design tools can help to de-risk planning, enhance investor confidence, and align the project with policy and market expectations.
- Design for Delivery: Ensure buildability and certainty of budget by working with integrated teams who manage end-to-end project details using coordinated digital platforms and proven delivery frameworks. This was critical during the renovation of the Tiffany & Co. Landmark store on New York's Fifth Avenue. As Architect of Record, Arcadis used digital tools to test and iterate design solutions throughout the lifecycle of the project, enhancing customer movement around the store while working within the constraints of the existing historical structure.
- Design in Collaboration: Recognize that no-one can do it alone. High-performing, cross-disciplinary teams with strong leadership and a culture of shared accountability are essential to unlock project potential.
Mansoor Kazerouni, Global Director of Architecture and Urbanism at Arcadis, added: "Development is a hugely challenging undertaking. High levels of uncertainty triggered by economic and political change have created a tough environment for getting projects off the ground. We know that buildings need to work even harder to meet the needs of their users, and that means treating every part of a scheme as a chance to maximize impact. As designers, our role is to lead with insight, creativity and commitment at every stage of the project - unlocking potential, supporting our clients, and delivering spaces that are buildable, sustainable, and valuable for the long term."
For more information, the full report can be downloaded here.
ABOUT ARCADIS
Arcadis is a global transformation partner, driving some of the most impactful projects of our time. We help clients make sustainable choices by combining digital innovation, human expertise, and future-focused skills across environment, energy, water, buildings, transport, and infrastructure sectors. Going beyond traditional design, engineering, and consultancy, we use data-driven insights to deliver tailored solutions in the spaces and environments we shape together. With over 35,000 people, we unite global expertise to tackle challenges like climate, energy affordability, and livable cities, improving quality of life through our presence in 30+ countries. In 2024, we achieved €5.0 billion in gross revenues. Learn more at www.arcadis.com
- London falls to second place; Zurich, Munich, and NYC round out the top five most expensive cities.
- Labor shortages and regulatory complexity fuel cost escalation as new global dynamics shape development realities.
- Bright spots emerge in growth areas such as energy infrastructure and data centers as clients reallocate global resources to meet shifting demand.
- Public spending set to boost demand in healthcare and defense.
- Arcadis urges proactive design and planning to unlock project viability.
AMSTERDAM, May 13, 2025 /PRNewswire/ -- Geneva has once again overtaken London as the most expensive city in the world in which to build, according to the latest Arcadis International Construction Costs (ICC) Report, released today. Closely followed by Zurich (third), Munich (fourth) and New York City (fifth), the report highlights continued pressure on construction costs across major urban centers in Europe and North America, reflecting high demand, labor constraints and complex regulatory environments.
The report underscores that while inflation has eased in some regions, particularly in major US cities such as New York and San Francisco, long-term borrowing costs, geopolitical uncertainty, and shifting trade policies are reshaping the investment landscape. Yet even amidst this volatility, Arcadis emphasizes that a proactive and well-informed approach to design and specification can still unlock value and ensure project delivery.
Arcadis notes that growth opportunities remain strong in key sectors such as data centers, healthcare, and social infrastructure such as education and healthcare, despite persistent inflation in certain geographies such as Australia, Eastern Europe, and parts of Asia.
The annual Arcadis International Construction Costs index covers 100 of the world's large cities across six continents. The cost comparison was developed covering twenty different building types, including residential, commercial, and public sector developments, and is based on a survey of construction costs, a review of market conditions and the professional judgement of Arcadis' global team of experts. The calculations are based in USD and indexed against the price range for each building type relative to Amsterdam.
Juud Tempelman, Global President of Places at Arcadis, said: "Change drives opportunity and, in a world of rising complexity and constrained capital, the most successful projects are those that combine visionary ideas with robust planning and adaptable design. Even in challenging times, construction markets are diverse, and some areas can be expected to boom. From advanced manufacturing in the US, to energy transition programs in the UK and Europe, we are seeing the reallocation of resources to meet shifting demand. With the right brief, aligned to real market needs and supported by collaborative design and digital maturity, we can unlock viability and deliver lasting success."
Arcadis outlines four important considerations for managing construction risk and maximizing project value in the current environment:
- Design for Long-Term Value: Focus on buildings that are adaptable, energy-efficient, and designed for evolving user needs. This was a key factor in Arcadis' approach to the design of River Grove Elementary School in Portland, Oregon. The building needed to be adaptable, energy-efficient, and resilient in the face of extreme weather events. By incorporating a microgrid system, which includes a photovoltaic array, battery storage, and generator to ensure independence from the grid during disasters, the new school embraces resilience and carbon neutrality, and can still function as an effective learning environment in an increasingly hot and wildfire-prone region.
- Design for Certainty: Leverage knowledge of the asset, the location and its market to ensure that a scheme represents the best development that can be delivered. Parametric design tools can help to de-risk planning, enhance investor confidence, and align the project with policy and market expectations.
- Design for Delivery: Ensure buildability and certainty of budget by working with integrated teams who manage end-to-end project details using coordinated digital platforms and proven delivery frameworks. This was critical during the renovation of the Tiffany & Co. Landmark store on New York's Fifth Avenue. As Architect of Record, Arcadis used digital tools to test and iterate design solutions throughout the lifecycle of the project, enhancing customer movement around the store while working within the constraints of the existing historical structure.
- Design in Collaboration: Recognize that no-one can do it alone. High-performing, cross-disciplinary teams with strong leadership and a culture of shared accountability are essential to unlock project potential.
Mansoor Kazerouni, Global Director of Architecture and Urbanism at Arcadis, added: "Development is a hugely challenging undertaking. High levels of uncertainty triggered by economic and political change have created a tough environment for getting projects off the ground. We know that buildings need to work even harder to meet the needs of their users, and that means treating every part of a scheme as a chance to maximize impact. As designers, our role is to lead with insight, creativity and commitment at every stage of the project - unlocking potential, supporting our clients, and delivering spaces that are buildable, sustainable, and valuable for the long term."
For more information, the full report can be downloaded here.
ABOUT ARCADIS
Arcadis is a global transformation partner, driving some of the most impactful projects of our time. We help clients make sustainable choices by combining digital innovation, human expertise, and future-focused skills across environment, energy, water, buildings, transport, and infrastructure sectors. Going beyond traditional design, engineering, and consultancy, we use data-driven insights to deliver tailored solutions in the spaces and environments we shape together. With over 35,000 people, we unite global expertise to tackle challenges like climate, energy affordability, and livable cities, improving quality of life through our presence in 30+ countries. In 2024, we achieved €5.0 billion in gross revenues. Learn more at www.arcadis.com
** The press release content is from PR Newswire. Bastille Post is not involved in its creation. **
Geneva reclaims title of world's most expensive city to build in, says Arcadis in latest International Construction Costs report
- CATL opens Middle East's first NING SERVICE Experience Center in Riyadh —currently the largest new energy aftermarket facility outside China.
- The facility offers comprehensive full-lifecycle after-sales support, cultivates local technical talent and accelerates the deployment of advanced electrification and energy storage solutions.
- It also functions as a regional ecosystem hub linking diverse stakeholders and resources to drive industrial synergy and sustainable growth.
RIYADH, Saudi Arabia, Jan. 11, 2026 /PRNewswire/ -- On January 10, 2026, CATL opened the Middle East's first and currently the largest new energy aftermarket facility outside China—the NING SERVICE Experience Center in Riyadh—strengthening its after-sales presence in the Middle East and supporting the region's shift toward cleaner energy systems.
The opening comes as Saudi Arabia and the wider Middle East advance ambitious electrification and decarbonization goals under Vision 2030 and similar national initiatives. Taking Saudi Arabia as an example, The Kingdom has set a goal to transition 30% of all vehicles in Riyadh to electric by 2030, as part of a larger strategy to reduce emissions in the capital city by 50%. Sustainability policies are also driving the shift to electric equipment, such as promoting the use of electric forklifts, while encouraging the use of green energy on farms under the Saudi Green Initiative. However, progress is tempered by persistent challenges, including longstanding oil dependency, surging electricity demand, extreme climatic conditions, and limited charging and service infrastructure.
Strategically designed to overcome these obstacles, the Riyadh facility offers comprehensive full-lifecycle after-sales support, cultivates local technical talent and accelerates the deployment of advanced electrification and energy storage solutions.
Covering more than 7,000 square meters, the Riyadh center combines exhibition areas, diagnostics and maintenance zones, refurbishment facilities, training spaces, and a customer lounge. It is designed to serve not only as a localized service hub for the region and a showcase of CATL's system-level capabilities across electric mobility, energy storage, and intelligent electrification, but also as a platform that links diverse resources, fostering industrial synergy across the ecosystem.
A full-lifecycle approach to new energy services
Relying on CATL's deep R&D and extreme manufacturing capabilities, NING SERVICE Experience Center provides customers with full-lifecycle services that encompass battery diagnostics, repair, maintenance, rework, training, recycling, aftermarket logistics and warehousing. Its services span over seven major product categories—from passenger and commercial vehicles to energy storage systems—along with diverse repair scenarios, setting a new benchmark for new energy service delivery in the region.
Leveraging CATL's advanced diagnostics and repair expertise, along with established service processes, the center's comprehensive after-sales services
helps enterprise customers reduce downtime, lower maintenance costs, and extend asset life, providing greater certainty around long-term performance and residual value while reducing long-term ownership costs and delivering more cost-effective and reliable services for end users.
Advancing localized operations and capability building
The Riyadh center serves as a key platform for CATL's localized operations in the Middle East, supporting talent development and long-term local value creation. Through dedicated training facilities, CATL builds after-sales and technical expertise in the new energy sector, contributing to skilled employment and knowledge transfer across the Middle East. Globally, NING SERVICE operates 10 training centers, totalling 2,300 square meters, and has certified more than 9,700 new energy after-sales professionals through partnerships with vocational institutions.
Beyond talent development, CATL is deepening its localization strategy by reinforcing local infrastructure and building ecosystem partnerships. CATL is in discussion with top-tier local industry players—including fuel network operators to rapidly provide green electricity to gas stations and major infrastructure companies to electrify their truck fleets, as well as energy companies to deploy solar-plus-storage solutions.
These initiatives not only bolster CATL's local service capabilities and market confidence, but also by enabling key partners, jointly drive the scaled adoption of comprehensive new energy solutions across the Middle East.
"As a leading energy company in Saudi Arabia, we see tremendous opportunities in energy transformation. For instance, we plan to deploy solar-plus-storage solutions at our gas stations and electrify forklifts to reduce reliance on oil. We look forward to collaborating with top players like CATL to drive this transition forward," said Ahmed Ibrahim，Assistant General Manager For Procurement of Al Drees, a leading provider of petroleum and logistics services in Saudi Arabia.
"The launch of CATL's Riyadh aftermarket flagship underscores our shared commitment to driving the global energy transition. This milestone not only reflects the growing demand for sustainable solutions in Saudi Arabia but also embodies our collective vision for a cleaner, electrified future. As the investor behind the experience centre, we are confident that this partnership will accelerate electrification and strengthen the region's role in advancing the energy transition." said Lin Chaofan, CEO of F4S.
Part of a global network
The Saudi Arabia opening builds on CATL's global service footprint, which includes more than 1,200 professional service stations across 76 countries and 73 spare-parts warehouses worldwide. CATL ranks No. 1 globally in spare parts inventory stocked with 100% genuine parts, with a total warehouse area of more than 370,000 square meters. To date, NING SERVICE has supported more than six million electric vehicles, providing professional after-sales services for passenger vehicles, commercial vehicles, and energy storage customers.
A long-term commitment to the Middle East
Bruce Li, President of Quality System, Aftermarket Business, Battery Management System Department at CATL, said the Riyadh center reflects a strategic, long-term view of the region.
"Our decision to establish this center in Riyadh is not only a commercial choice, but a long-term commitment," Li said. "As the first NING SERVICE Experience Center in the Middle East, it is more than a service facility. It is a new energy aftermarket ecosystem hub that brings together advanced technology, professional training, and industry collaboration—effectively connecting diverse stakeholders and resources to foster deeper synergy and sustainable growth across the region. Starting from here, CATL will continue to expand its after-sales service network across the Middle East, align closely with Saudi Arabia's Vision 2030, and support the region's energy transition through a reliable, end-to-end service system."
As the Middle East accelerates its shift toward electrification and energy storage adoption, CATL's expanded NING SERVICE presence is poised to deliver the technical reliability and sustained partnerships essential for this transformation.
RIYADH, Saudi Arabia, Jan. 11, 2026 /PRNewswire/ -- On January 10, 2026, CATL opened the Middle East's first and currently the largest new energy aftermarket facility outside China—the NING SERVICE Experience Center in Riyadh—strengthening its after-sales presence in the Middle East and supporting the region's shift toward cleaner energy systems.
The opening comes as Saudi Arabia and the wider Middle East advance ambitious electrification and decarbonization goals under Vision 2030 and similar national initiatives. Taking Saudi Arabia as an example, The Kingdom has set a goal to transition 30% of all vehicles in Riyadh to electric by 2030, as part of a larger strategy to reduce emissions in the capital city by 50%. Sustainability policies are also driving the shift to electric equipment, such as promoting the use of electric forklifts, while encouraging the use of green energy on farms under the Saudi Green Initiative. However, progress is tempered by persistent challenges, including longstanding oil dependency, surging electricity demand, extreme climatic conditions, and limited charging and service infrastructure.
Strategically designed to overcome these obstacles, the Riyadh facility offers comprehensive full-lifecycle after-sales support, cultivates local technical talent and accelerates the deployment of advanced electrification and energy storage solutions.
Covering more than 7,000 square meters, the Riyadh center combines exhibition areas, diagnostics and maintenance zones, refurbishment facilities, training spaces, and a customer lounge. It is designed to serve not only as a localized service hub for the region and a showcase of CATL's system-level capabilities across electric mobility, energy storage, and intelligent electrification, but also as a platform that links diverse resources, fostering industrial synergy across the ecosystem.
A full-lifecycle approach to new energy services
Relying on CATL's deep R&D and extreme manufacturing capabilities, NING SERVICE Experience Center provides customers with full-lifecycle services that encompass battery diagnostics, repair, maintenance, rework, training, recycling, aftermarket logistics and warehousing. Its services span over seven major product categories—from passenger and commercial vehicles to energy storage systems—along with diverse repair scenarios, setting a new benchmark for new energy service delivery in the region.
Leveraging CATL's advanced diagnostics and repair expertise, along with established service processes, the center's comprehensive after-sales services
helps enterprise customers reduce downtime, lower maintenance costs, and extend asset life, providing greater certainty around long-term performance and residual value while reducing long-term ownership costs and delivering more cost-effective and reliable services for end users.
Advancing localized operations and capability building
The Riyadh center serves as a key platform for CATL's localized operations in the Middle East, supporting talent development and long-term local value creation. Through dedicated training facilities, CATL builds after-sales and technical expertise in the new energy sector, contributing to skilled employment and knowledge transfer across the Middle East. Globally, NING SERVICE operates 10 training centers, totalling 2,300 square meters, and has certified more than 9,700 new energy after-sales professionals through partnerships with vocational institutions.
Beyond talent development, CATL is deepening its localization strategy by reinforcing local infrastructure and building ecosystem partnerships. CATL is in discussion with top-tier local industry players—including fuel network operators to rapidly provide green electricity to gas stations and major infrastructure companies to electrify their truck fleets, as well as energy companies to deploy solar-plus-storage solutions.
These initiatives not only bolster CATL's local service capabilities and market confidence, but also by enabling key partners, jointly drive the scaled adoption of comprehensive new energy solutions across the Middle East.
"As a leading energy company in Saudi Arabia, we see tremendous opportunities in energy transformation. For instance, we plan to deploy solar-plus-storage solutions at our gas stations and electrify forklifts to reduce reliance on oil. We look forward to collaborating with top players like CATL to drive this transition forward," said Ahmed Ibrahim，Assistant General Manager For Procurement of Al Drees, a leading provider of petroleum and logistics services in Saudi Arabia.
"The launch of CATL's Riyadh aftermarket flagship underscores our shared commitment to driving the global energy transition. This milestone not only reflects the growing demand for sustainable solutions in Saudi Arabia but also embodies our collective vision for a cleaner, electrified future. As the investor behind the experience centre, we are confident that this partnership will accelerate electrification and strengthen the region's role in advancing the energy transition." said Lin Chaofan, CEO of F4S.
Part of a global network
The Saudi Arabia opening builds on CATL's global service footprint, which includes more than 1,200 professional service stations across 76 countries and 73 spare-parts warehouses worldwide. CATL ranks No. 1 globally in spare parts inventory stocked with 100% genuine parts, with a total warehouse area of more than 370,000 square meters. To date, NING SERVICE has supported more than six million electric vehicles, providing professional after-sales services for passenger vehicles, commercial vehicles, and energy storage customers.
A long-term commitment to the Middle East
Bruce Li, President of Quality System, Aftermarket Business, Battery Management System Department at CATL, said the Riyadh center reflects a strategic, long-term view of the region.
"Our decision to establish this center in Riyadh is not only a commercial choice, but a long-term commitment," Li said. "As the first NING SERVICE Experience Center in the Middle East, it is more than a service facility. It is a new energy aftermarket ecosystem hub that brings together advanced technology, professional training, and industry collaboration—effectively connecting diverse stakeholders and resources to foster deeper synergy and sustainable growth across the region. Starting from here, CATL will continue to expand its after-sales service network across the Middle East, align closely with Saudi Arabia's Vision 2030, and support the region's energy transition through a reliable, end-to-end service system."
As the Middle East accelerates its shift toward electrification and energy storage adoption, CATL's expanded NING SERVICE presence is poised to deliver the technical reliability and sustained partnerships essential for this transformation.
** The press release content is from PR Newswire. Bastille Post is not involved in its creation. **
CATL Opens Middle East's Largest New Energy Aftermarket Facility in Riyadh
CATL Opens Middle East's Largest New Energy Aftermarket Facility in Riyadh
CATL Opens Middle East's Largest New Energy Aftermarket Facility in Riyadh
