5 of the World's Most Expensive Construction Projects

Many large construction projects generally require a "jumbo" budget. According to McKinsey, 98% of megaprojects will experience cost overruns of more than 30%.

In fact, a megaproject generally not only involves huge costs but also takes years to develop and build, involves many public and private stakeholders, and impacts millions of people. The *1build* report shows the following list of some of the world's most expensive construction projects.

1. Trans-European Transport Network (Ten-T)

The construction of the Trans-European Transport Network (Ten-T) cost US$600 billion, making it the world's most expensive construction project. This transport network consists of railways, roads, inland waterways, maritime shipping routes, ports, airports, and railway terminals across the European continent. This project, targeted for completion in 2050, aims to reduce the environmental impact of transport while improving energy efficiency and security.

However, this project has experienced severe cost overruns and completion has been delayed from the initial operational target of 2030. According to a recent project audit by a commission, changes in design and scope over time have led to a 47% increase in costs compared to initial cost estimates.

2. International Space Station (ISS)

This space station project, initiated in 1998, was initially budgeted at US$150 billion. However, this project, built by 15 countries, also experienced cost overruns. This occurred due to the project's extended lifespan and the addition of new components and equipment.

As a result, the estimated total cost of building this space station is US$230 billion. The project is targeted for completion in 2030.

3. Madinat al-Hareer (Silk City)

The construction of this city has a budget of US$132 billion, with construction taking place in phases over 25 years since 2019. The city's construction was initially intended as a solution to overpopulation and infrastructure problems in Kuwait.

Madinat al-Hareer will eventually feature the world's tallest skyscraper, Burj Mubarak al-Kabir, surpassing Dubai's Burj Khalifa, with a height of 1001 meters. This large metropolis will also have a new railway network, an international airport, and an international hub, as well as an Olympic-standard stadium, retail outlets, entertainment facilities, and housing and workplaces for 700,000 people.

4. California High-Speed Rail

This California high-speed rail project cost US$100 billion, exceeding the initial budget target of US$33 billion. Built by 4,000 workers, this project is designed to connect California's megaregion and will be the first high-speed rail system in the United States upon completion.

Phase 1 of this project will connect San Francisco to the Los Angeles basin in less than 3 hours at speeds exceeding 200 mph. Then, Phase 2 will extend the line to Sacramento and San Diego, totaling 800 miles. Not only is it over budget, but the project has also been delayed; it was originally scheduled to operate in 2020 but is now pushed back to 2030.

5. Forest City Malaysia

Forest City is a smart green city or luxury housing development built in partnership with Country Garden, China's largest developer. This project, which began in 2014, is built on four artificial islands off the coast of Johor in Malaysia and built on 3,425 hectares with seagrass beds, flora, and fauna. The city project is targeted for completion in 2035.

According to the developers, this city embraces futurism from an ecological perspective, including implementing a 3D multi-layered city planning concept that prioritizes green environments, underground vehicles that eliminate car pollution, low energy consumption, and rainwater recycling. This project has reportedly spent US$100 billion.