Purpose – The construction industry is reluctant to utilize construction logistics centres (CLC). To understand why, the purpose of the study is to increase the understanding of drivers and challenges of CLC utilization.

Design/methodology/approach – Adopting an activity-based cost methodology, nine construction projects’ CLC utilization in a Swedish urban development project is analyzed for a time period of three years (2013–2016).

Findings – There is a difference between drivers and challenges for implementing and utilizing CLCs, which are often implemented to reduce third-party disturbances. The drivers to utilize a CLC, however, stem from achieving efficient logistics. The authors identify two different utilization strategies; the CLC is used either for just-in-time (JIT) deliveries or as a consolidation point.

Research limitations/implications – The study shows that construction logistics is to some extent repeating some mistakes of its big brother, city logistics. The study hypothesizes that there are differences between CLC implementation and utilization drivers and challenges that are often overlooked, which can explain the lack of CLC utilization.

Practical implications – The study shows that it is crucial for construction projects to develop and formulate a logistics strategy for how to utilize the setup, i.e. deciding whether to use the setup as aconsolidation point leading to fewer deliveries and more materials on-site, or as JIT, leading to more deliveriesbut fewer materials on-site.

Social implications – CLCs can reduce environmental impact and third-party disturbances. However, tomake this come true, acceptance among the users is needed. The study provides understanding of drivers and barriers for CLC implementation and utilization that can increase acceptance among users (i.e. construction projects).

Originality/value – The current study is one of the first studies to analyze CLC utilization.