Research Proposal

Scandinavia Construction IRR


To gain an understanding of the IRR of residential construction companies in the Scandinavian (Nordic) countries of Sweden, Norway, Finland, and Denmark.

Early Findings



  • The Norwegian construction industry saw a growth of 4.6% and 3.9% in 2017 and 2018, respectively.
  • The total revenue for the industry in 2017 was US$69.4 billion and in 2018 it was US$72.1 billion. The rise in construction was due to transport infrastructure, energy, and housing construction.
  • It is projected the industry will have an average growth of 2.7% between 2019 and 2023.
  • When Global Information, Inc. conducted its research study it found residential construction was the largest portion of Norway's construction market, making up 43.4% of the total revenue of the industry in 2018.
  • The research projected that residential construction will account for 40% of the total market by 2023.
  • According to Reuters, in 2016 the top 5 housing constructors in Norway were Mesterhus, Byggman, Blink Hus, OBOS, and Nordbohus.


  • The Danish construction industry grew 2.5% between 2013-2017. The growth was attributed to government/private sector investments and the residential construction segment.
  • The industry is expected to grow between 2018 and 2022 with the government planning to invest US$15.1 billion into the country's infrastructure.
  • Danish construction industry's output value is expected to 2.94% CAGR between 2018 and 2022.
  • GlobalData's study projected the residential district to still be the top segment in the industry and is expecte to own 42.7% of the industry's total value in 2022. This is due to the country's rising population and developments in regional areas.
  • The three largest construction companies (buildings) in Denmark are Ncc Danmark, A. Enggaard, and Enemaerke & Petersen.


  • Finland's construction industry grew from 2015 to 2016, following a 3.8% growth from 2013 to 2014.
  • GlobalData forecasts that the industry will continue to grow because of investor confidence that is expected to help with residential and commercial projects.
  • The industry will potentially see a boost with Finland implementing the General Government Fiscal Plan for 2017-2020 that was expected to help with infrastructure.
  • The CAGR is expected to be 3.18% for the total output of the industry from 2017-2021.
  • The residential segment is expected to grow during this time as the government seeks to lessen the gap between housing demand and supply. Residential construction is expected to be the main segment and account for 34.5% of total output in 2021.
  • YIT Group is Finland's largest residential construction company.
Prepared By
Chris S.
79 assignments