NACE 41.2 – Construction of Buildings | Public Tenders

Definition: NACE 41.2 covers the economic activity of constructing residential buildings (single- and multi-family houses, terraced houses) and non-residential buildings (office, industrial, educational, hospital and other special-purpose buildings). This group is one of the highest-volume areas in public procurement and covers new construction as well as major refurbishment and conversion.

Legal basis: NACE Rev. 2 (Regulation (EC) No 1893/2006) · Last updated: January 2026

What does NACE 41.2 cover?

NACE 41.2 (Construction of buildings) classifies companies that perform building construction works for residential and non-residential purposes — one of the central service areas in public procurement, from schools to hospitals.

Group 41.2 within Section F (Construction) and Division 41 (Construction of buildings) is divided into two classes:

Public contracting authorities under NACE 41.2 are municipalities and cities (schools, kindergartens, town halls), federal authorities (government buildings, barracks), federal states (state hospitals, educational facilities), federal property companies (BIG in Austria, BImA in Germany), universities, and public-law hospital and social-services bodies.

Public Tenders: Building Construction

Building construction is one of the most frequent tender subjects in the public sector — new schools, hospital refurbishments and administrative buildings are regularly published Europe-wide on TED.

Typical contract types

• School construction and educational facilities: New construction, extensions and major refurbishment of schools, kindergartens, university buildings and vocational schools
• Hospital and healthcare construction: New construction and conversion of hospitals, outpatient clinics, care homes and health centres with high technical requirements
• Administrative buildings: Government offices, town halls and ministerial buildings, police stations, courthouses
• Housing with public involvement: Subsidised rental housing projects, municipal residential buildings, social housing by public-sector bodies
• Sports halls and leisure facilities: Municipal sports halls, swimming pools, event venues
• Barracks and security buildings: Armed forces and army properties, fire stations, prison buildings
• Refurbishment and revitalisation: Energy refurbishment, roof additions, barrier-free upgrades of public buildings

Thresholds and procedure types

Building works frequently exceed the EU threshold for works contracts (EUR 5,538,000, as of 2024/2025) on larger projects and must then be tendered EU-wide on TED. Smaller individual measures are tendered nationally in the open or restricted procedure. For functionally complex buildings (hospitals, laboratories), the competitive dialogue applies; architectural competitions under RPW 2013 (Germany) or WettbR (Austria) are usual for projects of urban relevance.

Relevant CPV codes for NACE 41.2

The link between NACE 41.2 and specific tenders is provided by CPV codes (Common Procurement Vocabulary), which must be stated in every TED notice.

Current tenders with these CPV codes can be found on TED (Tenders Electronic Daily) and on national procurement platforms.

For contracting authorities and bidders

Public contracting authorities

In building construction, public contracting authorities at all levels are active. Municipalities are the most important contracting authorities for schools, kindergartens and municipal facilities. In Austria, the Federal Real Estate Company (BIG) manages federal buildings and regularly tenders refurbishment and new-build projects; the federal states operate state hospitals and state school buildings as independent contracting authorities. In Germany, the Federal Institute for Real Estate (BImA) is responsible for federal properties; universities and higher education institutions act as independent contracting authorities depending on the federal state. Special rules apply to utility contracting entities in infrastructure buildings (railway stations, airport terminals).

Companies and bidders

Construction companies active under NACE 41.2 typically must provide the following suitability evidence for EU-wide tenders:

• Trade authorisation: Trade licence as a master builder or building construction company
• Technical capacity: Reference lists of comparable building construction projects (contract value, building type, complexity)
• Economic and financial capacity: Annual turnover, equity ratio, liability insurance
• Certifications: ISO 9001 (quality management), ISO 14001 (environmental management), sustainability certifications (DGNB, ÖGNI, LEED) for subsidised or climate-related projects

In major projects (e.g. new hospital construction), the formation of joint ventures (ARGE) is common practice. Main-contractor awards in which one company coordinates all trades are increasingly used in public building construction.

NACE 41.2 in context: Section F and Division 41

NACE 41.2 is part of Division 41 (Construction of buildings) within the construction Section F — the economically most important section in public procurement.

• NACE F – Construction: Parent section covering all construction activities
• NACE 41 – Construction of buildings: Division covering site development and building construction
• NACE 41.1 – Development of building projects: Project development and site development
• NACE 43 – Specialised construction activities: Specialist construction works as a complement to building construction

Frequently asked questions on NACE 41.2 and public tenders

Which companies fall under NACE 41.2?
All construction companies that predominantly carry out building construction works — from small builders erecting single-family houses to main contractors delivering hospitals on a turnkey basis. Classification is based on the focus of the company's economic activity.

How do I find current tenders in building construction?
EU-wide tenders are available on TED by CPV search (e.g. 45210000, 45214000, 45215000). National tenders below the thresholds can be found on procurement platforms such as the Austrian contracting authority portal (auftraggeberin.gv.at), VEMAP, or the German federal procurement platform (DTVP, evergabe.de).

Must architectural services and building construction be tendered separately?
Under procurement law, planning and construction services must generally be considered separately: architectural services fall under NACE 71.1 and are tendered as service contracts, while the actual building construction under NACE 41.2 is awarded as a works contract. A combined tender as a general planner/general contractor model is possible but requires particular procurement-law care.

Last updated: January 2026
All information is provided without guarantee. For legally binding advice, please consult a law firm specialising in public procurement law.