Portland has seen a dramatic slowdown in construction activity, with only five cranes operating in the city at the start of 2025 — the lowest number in at least a decade. This marks a sharp contrast to previous years, when the skyline was dotted with as many as 30 cranes involved in the construction of new housing, hotels, and commercial buildings.

The semiannual RLB Crane Index, which tracks major building projects in large cities across the U.S., highlights this decline in construction activity. Cranes are often seen as an indicator of large-scale building projects, especially those that involve complex structures requiring heavy machinery like steel beams.

Before the pandemic, Portland’s construction industry was thriving, fueled by low interest rates and a growing population. Key projects like the expansion of Adidas' North American headquarters, new buildings for hospitals, and the replacement of aging high schools were driving the demand for construction. At the same time, the expansion of Portland International Airport also kept construction cranes busy for several years.

However, many of these projects have wrapped up, and there has been little to replace them. Of the five cranes still in operation in early 2025, three are working on residential or mixed-use projects. One crane is involved in the expansion of the Portland Art Museum, and another is working on a building at Oregon Health & Science University.

The downturn has had a noticeable impact on the local workforce, with the Portland area losing 3,000 construction jobs over the past year, according to the Oregon Employment Department. The outlook for new major construction projects is uncertain, as the number of new apartment permits in Portland has dropped to its lowest level since the Great Recession. High interest rates, the ongoing trade war, and stagnant population growth since the pandemic have all contributed to this construction lull.

Looking ahead, there are some potential developments, but they are not expected to bring immediate relief. Live Nation is preparing to break ground on a new concert venue near the Hawthorne Bridge, and there are preliminary plans for a new theater at Portland State University, potentially beginning construction in 2027. Additionally, voters are considering a $1.83 billion bond to replace three aging high schools, which could spark new construction activity. Furthermore, Portland is positioning itself as a candidate for a Major League Baseball expansion team in 2029, which could lead to the construction of a $2 billion ballpark in the early 2030s if the city wins the bid.

Originally reported by Mike Rogoway in Oregon Live.