In the dynamic landscape of the construction industry, Clayco, one of Chicago’s largest construction companies, is navigating the complexities of the second half of 2025 with a strategic focus on growth and resilience. CEO Anthony Johnson recently shared insights with Construction Dive, highlighting the firm’s outlook amidst cost pressures, market uncertainties, and evolving client needs.
Clayco’s confidence in the data center and advanced manufacturing sectors remains unwavering, despite the broader industry’s challenges. The company’s strategic moves, including the launch of Clayco Compute, a dedicated business unit for data center construction, underscore its commitment to high-growth sectors. In 2024, data center projects generated $3.6 billion, half of Clayco’s total revenue, a testament to the sector’s robust demand.
Johnson emphasized that the second half of 2025 will be marked by persistent cost volatility, high demand, and lending constraints. These factors are causing clients to tread cautiously, prompting Clayco to double down on collaboration during the planning and pricing phases. “Our focus is on helping them understand and manage their risk exposure early so they can secure financing and move forward with confidence,” Johnson stated. This approach ensures that decisions are data-driven, fostering smarter investments rather than hasty ones.
The company’s strategic investments in engineering, design, and self-perform mechanical and electrical capabilities are paying off, allowing Clayco to maintain control over critical systems and execution speed. This strategic positioning is enabling Clayco to scale across sectors, even as some firms consolidate or pull back due to economic uncertainty.
Clayco’s growth is driven by several key sectors, including data centers, artificial intelligence-driven projects, advanced manufacturing, and life sciences. The surge in data center construction, fueled by the rapid acceleration of AI technologies and the growing demand for data processing, has been a significant growth area. Additionally, privately developed student housing and a resurgence in multifamily and mixed-use projects in select urban markets are contributing to Clayco’s expansion.
Rising construction costs, supply chain issues, and labor pressures are shaping Clayco’s approach to construction and procurement. Johnson noted, “We are experiencing impacts on a couple different fronts, which has positioned us to focus heavily on supply chain and also project underwriting.” The company is working closely with clients to provide transparency in the supply chain, understand alternatives, and develop contingency plans to de-risk projects.
The quest for power is leading many users to more remote locations, exacerbating the challenge of finding skilled labor. This trend, coupled with the drive for acceleration and speed to market, is pushing Clayco to innovate in project execution. Offsite and onsite modularization and prefabrication are among the strategies being implemented to address these challenges.
Clayco’s proactive stance on sustainability and innovation is setting a benchmark for the industry. By focusing on high-growth sectors, investing in strategic capabilities, and prioritizing client collaboration, the company is not only navigating current uncertainties but also shaping the future of construction. As the industry continues to evolve, Clayco’s approach serves as a roadmap for other firms looking to thrive in a rapidly changing landscape.