Georgia's Commercial Construction Industry Drives $80.9 Billion Economic Impact, Supports 549,000 Jobs
A new economic impact report reveals Georgia's commercial construction sector generated $80.9 billion in economic output and supported over half a million jobs in 2022, highlighting its critical role as a foundational pillar of the state's economy amid emerging challenges.
The commercial construction industry in Georgia generated $80.9 billion in total economic output and supported 549,347 full-time equivalent jobs according to a comprehensive economic impact report commissioned by Associated Builders and Contractors of Georgia. The report, produced by Economic Research Services, Inc. based on 2022 data, demonstrates the sector's commanding role in powering the state's economy through job creation, revenue generation, and substantial tax contributions.
The industry's impact extends far beyond direct construction activities, with $17.1 billion in gross payroll generating $37.4 billion in output when multiplier effects are considered. Non-payroll spending reached $21.8 billion, supporting local suppliers and generating $43.5 billion in output. State tax revenues from the sector totaled $2.7 billion, including $1.47 billion from income taxes and $1.22 billion from sales and use taxes. The full report detailing these findings is available here.
Bill Anderson, president and CEO of ABC of Georgia, emphasized that commercial construction is not just building structures but building Georgia's economy. The organization's national branch named Georgia the top state for construction in 2024, reflecting the industry's significant impact. Anderson noted the focus remains on policies supporting infrastructure development and workforce expansion to maintain momentum. Additional resources including an infographic about the report can be found here.
The industry's reach extends to manufacturing, services, trade, and transportation sectors, which are deeply connected to commercial development activities. High-profile projects exemplifying this impact include Google's new data center in Douglas County, Savannah Port's $4.5 billion expansion, and The Battery Atlanta's $1.1 billion mixed-use development. Infrastructure projects like the Atlanta Beltline, Stitch and PATH 400 continue to keep construction and engineering teams engaged. A slide presentation providing additional context is available here.
Despite the industry's strength, Anderson identified potential challenges including tariffs and immigration issues affecting construction costs and workforce availability. Construction segments showing slowdown include multifamily projects and privately funded developments, while data center projects and government initiatives in higher education, healthcare, and college sports facilities continue moving forward. With Georgia's pro-business climate, Sun Belt population growth, and ongoing infrastructure investments, the report underscores commercial construction's pivotal role in shaping the state's economic trajectory as a foundational pillar of growth for communities across Georgia.