Sustainability of cities has become a real challenge for local authorities. According to UN-Habitat, over 60 per cent of the world's population is expected to live in cities by 2030 and nearly 70 per cent by 2050. This urban population increase bring serious challenges related to housing deficits and the sustainability of cities. The construction industry can play a significant role in addressing both these challenges. Current on-site construction methods have environmental problems: energy waste; site disturbance; noise, air and dust pollution as well as solid waste. Moving to pre-fabricated buildings can help mitigate the above-mentioned environmental problems and still provide cost-effective buildings at a reduced timeframe.