Dive Brief:

• Despite the common storyline of shrinking enrollment and dire financial straits among higher education institutions, many are still finding reason to upgrade and expand their campuses.
• University Business’ annual construction report found that nearly half of 319 respondents reported being within one year of completing major building projects.
• According to University Business, colleges and universities are building because of: enrollment growth and the need for facility upgrades; increased attention to green building techniques; the desire for classroom design that favors student engagement; and the need to blend old and new architectural styles.

Dive Insight:

Even when university finances are a concern, putting money toward new construction is often seen as a long-term investment strategy. College and university leaders look to future enrollment growth, in part spurred on by state-of-the-art facilities.

The report from University Business coincides with recent results from Doge Data, which found that construction starts on educational facilities — the "largest nonresidential building category by dollar volume" — increased by 8% in May.