Construction Costs to ‘Go Up Radically,’ Prologis CEO Says

The chief executive officer of Prologis Inc., a real estate investment trust that owns and runs warehouses, said US immigration policy is causing a labor shortage that’s driving building costs higher.

“Construction costs are going to go up radically,” Prologis CEO Hamid Moghadam said Wednesday on Bloomberg TV. “We thought they were going to stabilize this year, but I think all of this immigration stuff is putting more pressure on construction.”