How Fast Is Construction Procurement Growing?

Construction is the fastest-growing major category in the RFP market. Between November 2025 and January 2026, construction-related RFP listings grew 191%, from 74 to 215 monthly listings. Over the same period, the broader market grew significantly but no individual category matched construction's acceleration. By January 2026, construction represented 9.4% of all RFP volume, up from zero tracked listings in October 2025 when our construction feed sources were not yet active.

In total, we identified 544 construction RFPs in our dataset of 7,569 listings. These span new construction, renovation, infrastructure upgrades, facility maintenance, and specialized trades. The geographic distribution is broad, with California (42 listings), Texas (40), Florida (39), and Georgia (36) leading in raw volume. Federal construction, primarily from the VA and USACE, accounts for 19.9% of all construction listings (108 RFPs), making the federal government the single largest construction buyer in the dataset.

What Is the Federal Government Building?

Federal construction procurement is dominated by two agencies. The Department of Veterans Affairs is modernizing its healthcare infrastructure across the country, with projects ranging from new Community Living Centers to EHRM (Electronic Health Record Modernization) infrastructure upgrades. USACE (Army Corps of Engineers) is executing civil works and military construction projects. Together, these two agencies account for the majority of the 108 federal construction RFPs in our dataset.

Federal construction RFPs are distinctive in several ways. Most are set aside for Service-Disabled Veteran-Owned Small Businesses (SDVOSBs), reflecting VA's statutory procurement preferences. Budget magnitudes typically range from $1 million to $50 million, as specified in VAAR 836.204 magnitude-of-construction disclosures that appear in 21 of the tracked listings. The applicable NAICS code is 236220 (Commercial and Institutional Building Construction) with a $45 million size standard, which appears in 17 RFPs and is the single most common NAICS code in the entire dataset.

What Are the Key Differences in Construction Bidding?

Construction procurement operates differently from services or software RFPs in several important ways. The solicitation mechanism is often an Invitation for Bid (IFB) evaluated under FAR Part 14 (sealed bidding), where the lowest responsive, responsible bidder wins. This contrasts with the best-value evaluations used in most services and technology RFPs. Construction timelines are also longer: the median turnaround for construction RFPs is 27 days, the most generous of any major category.

Bonding requirements are a significant barrier to entry. Most federal construction RFPs require bidders to demonstrate bonding capacity in the form of a surety letter covering the full contract value. The pre-solicitation notices in our dataset frequently request bonding letters as part of the initial capability statement. Design-build vs. design-bid-build delivery methods are another distinguishing factor, with each requiring different teaming arrangements and proposal structures. Understanding which delivery method the RFP specifies is critical for assembling the right team and pricing approach.

Where Are the Construction Opportunities?

Construction RFP activity is geographically dispersed but follows predictable patterns. California, Texas, and Florida lead in volume, reflecting their large populations and ongoing development. Georgia's strong showing (36 listings) is driven by military installations and infrastructure projects. The federal procurement corridor (DC, Maryland, Virginia) is well-represented, as VA medical center modernization projects generate steady construction demand across the mid-Atlantic region.

For construction firms considering where to focus business development, the data suggests two distinct strategies. National firms should prioritize federal VA and USACE opportunities, which provide a steady stream of well-funded projects with clear evaluation criteria. Regional firms should focus on their home states and adjacent markets, where relationships with local contracting officers and knowledge of local building codes provide a competitive advantage that national firms cannot easily replicate.

Frequently Asked Questions

How fast is construction RFP volume growing?

Construction RFP volume grew 191% between November 2025 and January 2026, making it the fastest-growing major category in our dataset. January 2026 saw 215 construction listings, representing 9.4% of all RFP volume.

What is the most common NAICS code for construction RFPs?

NAICS code 236220 (Commercial and Institutional Building Construction) is the most common, appearing in 17 federal construction RFPs. The associated small business size standard is $45 million in annual revenue. This code covers the institutional and commercial building work that dominates VA and USACE procurement.

What percentage of construction RFPs are federal?

19.9% of construction RFPs in our dataset (108 out of 544) reference federal agencies or procurement processes. The Department of Veterans Affairs and Army Corps of Engineers are the two most active federal construction buyers.