The construction industry is undergoing a significant transformation, firms like Skanska USA are seeking ways to build more efficiently, safely, and sustainably. One key approach gaining further traction is industrialized construction (IC), which advances construction through methods like prefabrication and modular construction. According to Arizton Advisory & Intelligence. The prefabricated buildings market was valued at $146.47 billion in 2024 and is projected to reach $208.10 billion by 2030.
“We’re seeing this expansion of IC being driven by many factors, such as urbanization and cost-efficiency, said Chris Hopper, Executive Vice President-General Manager for Skanska USA “By applying Lean principles like pre-assembly, kit-packing, and Just-in-Time delivery, we’re tackling tight schedules and quality demands while reducing inefficiencies. This approach is making a real difference in key markets like Nashville.”
Prefabrication manufactures building components like walls, floors, or entire room-sized modules, in factories for later on-site assembly. Modular construction, a type of prefabrication, produces complete volumetric modules off-site to be connected on location. Unlike traditional sequential on-site construction, this method allows site preparation and component fabrication to occur simultaneously, speeding up project timelines.
In Nashville, Skanska completed Sentral SoBro, formerly Sixth South Apartments, which features a 12-story exterior façade that was prefabricated offsite before being transported and hoisted into place on-site. This shortened the project schedule by six weeks, reducing overall duration by 5%, and enabled early building dry-in to improve interior work sequencing.
The firm also completed The Community Foundation of Middle Tennessee’s 18,500-square-foot headquarters. The project was built with 99% cross-laminated timber (CLT), using 666 prefabricated pieces. Though CLT requires detailed upfront coordination, it enables faster design and installation than traditional materials. Additionally, Precision Walls used PanelMax prefab for drywall soffit corners, cutting material, labor, and waste. During the 145,000-square-foot renovation of the historic War Memorial downtown, a prefabricated catwalk was used to boost efficiency and reduce on-site disruption.
“Nashville’s booming construction market offers great opportunities for prefab methods to overcome tight timelines and workforce challenges while meeting sustainability goals. Our local projects demonstrate how prefabrication accelerates schedules and minimizes disruption in rapidly growing communities,” says Hopper.
Skanska broke ground this year on a new project near Downtown Nashville, The Bend at Capitol District. The company plans to utilize 98,000-SF of prefabricated exterior skin assemblies consisting of masonry, metal panels, and stucco finishes. Prefabrication and modular construction are an important evolution in building, aligning with priorities like speed, safety, quality, sustainability, and cost-effectiveness. Understanding their strengths and limits helps stakeholders make informed decisions and how to apply them for the best results.
“Using locally fabricated panels and volumetric modules helps us speed up construction and reduce neighborhood disruption by getting buildings enclosed and interiors installed more quickly,” says Dennis Georgatos, Vice President-Account Manager for Skanska.
Off-site fabrication offers several key benefits, including enhanced quality through tighter tolerances, improved safety by reducing on-site labor, and accelerated schedules by allowing earlier assembly. It also minimizes waste, supports cost control, and increases flexibility for future modifications. Overall, these advantages lead to more predictable, efficient, and reliable project outcomes.
Prefab and modular construction are expanding across sectors like commercial, healthcare, multifamily, and education. In Nashville, adoption is driven by a skilled labor shortage, rapid growth, tighter occupancy deadlines, and sustainability goals. Off-site assembly also reduces disruption on tight urban sites.
For cities like Nashville navigating rapid growth alongside resource constraints, embracing prefab approaches offers a practical path forward. As experience grows nationally and locally, these methods will continue to shape smarter construction for the future.
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