Over 200 leaders from Long Island’s construction, architecture, and engineering sectors gathered on Thursday, December 12, 2025 for a breakfast event that was as insightful as it was impactful. Hosted by HIA-LI in collaboration with the Long Island Builders Institute and the Long Island Contractors Association, the event spotlighted the findings of the Grassi 2024 Construction and Architecture & Engineering (A&E) Industry Survey Report. It was a morning of thoughtful discussion, led by highly respected voices in our community.
The program began with opening remarks from Marc Herbst, Executive Director of the Long Island Contractors Association, who set the tone by emphasizing the critical role these sectors play in the bi-county region’s economic vitality. Carl Oliveri, Partner and Construction Practice Leader at Grassi, skillfully moderated the panel, which included Robert Brewer, Partner and A&E Practice Leader at Grassi; Jimmy Coughlan, Executive Vice President and Partner at TRITEC; Rich Humann, President & CEO of H2M architects + engineers; and Devin Kulka, CEO of The Kulka Group. Each speaker brought unique perspectives on the survey’s findings, and together, they painted a comprehensive picture of where we stand — and where we’re headed.
Insights and Challenges from the Survey
The survey provided an honest assessment of the current landscape for construction and A&E firms, capturing feedback from 248 industry leaders. While optimism about revenue growth in 2024 is strong — 56% anticipate an increase — there’s no denying the headwinds our region faces.
The Challenges:
- Labor Shortages
Labor shortages remain a top concern, with over half of respondents citing this as the most significant challenge. The scarcity of skilled workers isn’t just a business problem; it’s a community issue. It impacts the pace of development and the ability to meet growing housing and infrastructure needs. - Inflation and Rising Costs
Inflation, coupled with escalating material and overhead costs, continues to squeeze margins. Eighty-three percent of firms reported increased overhead costs, with many facing double-digit hikes. This reality forces companies to make tough choices and adapt to maintain profitability. - Supply Chain Disruptions
While supply chain issues have eased somewhat, they remain a persistent challenge. Many firms are turning to innovative solutions such as diversifying suppliers and locking in prices through agreements to mitigate volatility.
The Opportunities:
- Technological Investments
Companies across the sector are embracing advancements like project management software, artificial intelligence, and building information modeling. These tools are enhancing efficiency and helping firms stay competitive in a rapidly evolving market. - Cybersecurity Leadership
Long Island’s A&E firms are leading the way in cybersecurity, with 96% implementing robust protocols, including dual-factor authentication. This commitment to protecting sensitive data is a model for other industries. - Optimism in Residential Construction
Despite challenges, there is cautious optimism about residential construction, particularly here in Nassau and Suffolk counties. This is a positive indicator of the region’s resilience and its ability to adapt to market demands.
What This Means for Long Island
The findings of this survey are a mirror reflecting both the promise and the pressures of doing business in our region. As we look to 2025, it’s clear that collaboration will be key to addressing these challenges. Workforce development must take center stage. HIA-LI is committed to working with local schools, trade groups, organized labor, and government agencies to cultivate a pipeline of skilled workers who can sustain this vital industry.
At the same time, our businesses must continue to innovate. Investments in technology and strategic partnerships will not only help firms weather economic uncertainties but also position Long Island as a hub for cutting-edge construction and engineering practices.
Finally, we must celebrate our strengths. The construction and A&E industries are pillars of our economy, contributing to the development of homes, offices, schools, and infrastructure that enhance our quality of life. By supporting these sectors, we are investing in the future of our entire community.
A Call to Action
To the leaders in attendance last week: Thank you for your insights, your dedication, and your vision. Let’s continue to work together to strengthen Long Island’s position as a leader in innovation and growth. And to those who couldn’t attend, I encourage you to engage with the findings of this report. The challenges are real, but so are the opportunities.
Together, we can rise to meet them.
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