Modular building, 3D construction paves way for innovative solutions to the housing crisis

The Community Economic Development Authority of Michigan (CEDAM), a nonprofit focused on affordable housing, recently hosted a webinar exploring modular and 3D-printed construction as ways to speed up and potentially lower costs in affordable housing development. Construction prices have surged post-pandemic, and labor shortages are driving interest in alternatives.

The Community Housing Network, a Southeast Michigan nonprofit that has helped over 400,000 people across Wayne, Oakland, and Macomb counties in 25 years, is leading the charge. They've already built modular projects in Pontiac and Eastpointe, including single-family homes and multi-family rentals. The main appeal: modular homes built in climate-controlled factories take about eight weeks to produce, then eight weeks to install on-site — roughly four months total versus a year or more for traditional construction. That time savings translates to real money when interest rates on construction loans run 7–8%.

Experts caution it's not a complete fix. Modular building still costs about the same as traditional construction and remains a niche industry with limited factory capacity. Developers need to front a 50% deposit, making it harder for smaller or emerging developers to participate. But for organizations with access to financing and partnerships, like CHN, the approach is proving workable.