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Regional and net economic impacts of high-rise mass timber construction in Oregon

Author(s):

Adam Scouse
Stephen S. Kelley

Year:

2020

Publication type:

Scientific Journal (JRNL)

Primary Station(s):

Forest Products Laboratory

Source:

Sustainable Cities and Society. 61: 102154.

Description

Pacific Northwest policy makers are excited about the emergence of mass timber into U.S. construction markets as the product potentially creates local manufacturing jobs while utilizing Douglas fir growing sustainably in the region. This study assessed regional economic impacts generated by mass timber high-rise construction in Oregon. Economic impact estimates were derived using a regionally specific input-output model combined with analysis-by-parts methodology. Financial data from Portland’s 12-story Framework building, estimated using RSMeans software, provided purchasing information. The study’s economic model made use of regionally specific socioeconomic data from the American Community Survey to determine how economic impacts translated into increased earnings for study area residents. Because building with mass timber represented product substitution over traditional construction practices, this study assessed regional impacts of mass timber construction alongside the opportunity costs associated with a concrete frame alternative. Net impact assessment results indicated that construction of the 12-story building using a mass timber design generated larger economic impacts than traditional concrete frame construction and generated additional earnings for households of all income levels. Panels must be produced locally to realize the full economic benefits of mass timber construction as importing panels from outside the state creates economic leakage that reduces economic benefits.

Citation

Scouse, Adam; Kelley, Stephen S.; Liang, Shaobo; Bergman, Richard. 2020. Regional and net economic impacts of high-rise mass timber construction in Oregon. Sustainable Cities and Society. 61: 102154.

Cited

Publication Notes

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  • This article was written and prepared by U.S. Government employees on official time, and is therefore in the public domain.
https://www.fs.usda.gov/treesearch/pubs/60719