Modular construction is rapidly becoming a mainstream option in multifamily housing, now accounting for nearly 9% of all apartment starts in the U.S.—and industry experts say this is just the beginning. Developers like Resia are leading the charge by vertically integrating modular production, building components like kitchens and bathrooms off-site in factories for quicker assembly. Resia’s latest project in Florida featured units produced 500 miles away in Georgia, showcasing the cost, time, and sustainability benefits of modular design.
The sector could see even more momentum if the bipartisan Renewing Opportunity in the American Dream to Housing (ROAD) Act passes Congress. The bill, currently under Senate review, aims to modernize federal financing rules that often clash with modular’s unique upfront funding needs and to clear up persistent public confusion between “modular” and “manufactured” housing. The Modular Building Institute and other advocates hope that federal recognition and updated definitions will prompt broader private-sector adoption and shift outdated perceptions.
Industry leaders such as Greystar have jumped in with multiple modular projects, citing faster build times (up to 40% quicker), reduced waste (as much as 90%), and lower overall costs. Ginosko Modular, another innovator, reports building costs as low as $73 per square foot—about half the price of traditional apartment construction—thanks to climate-controlled, factory-based workflows that eliminate weather delays and reduce reliance on skilled labor.
Despite past setbacks like the failure of Katerra, the mood in the industry is optimistic. Resia, having proven its model with successful projects like the Golden Glades apartments in Miami, plans to start selling modular units to other developers in 2026. Industry voices say the biggest remaining obstacle is risk aversion; many firms are waiting to see others succeed first. But with a growing pipeline, policy support, and successful case studies, modular construction is increasingly seen not as an experiment, but as a viable path to faster, cheaper, and more sustainable multifamily housing.
