ICE Raids at NM Construction Sites Stall Projects, Say Developers

Federal immigration agents have significantly ramped up enforcement operations at residential construction sites across Albuquerque and Santa Fe over the last month, according to reports from local developers.

The surge in activity has resulted in at least a dozen arrests across five confirmed operations, leaving the state’s housing industry in a state of suspended animation as workers stay away from job sites out of fear.

Miles Dylan Conway, CEO of the New Mexico Home Builders Association, said he has received approximately 20 calls or texts from developers in the past week alone. These members report that agents from U.S. Immigration and Customs Enforcement (ICE) have been arriving in unmarked SUVs to detain workers, creating a climate of uncertainty that is stalling critical infrastructure projects.

“The level of activity I’ve had on my phone, the calls from members who are sometimes calling on behalf of their subcontractors, are telling me that the pace and intensity of the immigration enforcement is significantly escalated,” Conway told Source NM.

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The timing of these raids poses a sharp challenge to a state already grappling with a shortage of approximately 58,000 affordable housing units.

While the construction sector relies heavily on a workforce that is roughly 30% foreign-born—a figure estimated by the National Association of Home Builders—the current enforcement strategy is causing even documented workers to avoid job sites. This ripple effect is turning an already difficult labor market into a bottleneck for ongoing developments.

Federal Authorities Disrupt Habitat for Humanity Construction

The impact is being felt across a spectrum of projects, from large multi-family subdivisions to modest single-family homes. On Tuesday morning, operations reached a Habitat for Humanity site in Albuquerque’s San Jose neighborhood. Bill Bidal, CEO of the Greater Albuquerque Habitat for Humanity, described the arrival of federal authorities as a sudden, disruptive event that occurred just as workers were pouring concrete for two nearly complete homes.

“Out of the blue, the federal authorities showed up,” Bidal said. “We’ve heard rumors all over town for the last couple weeks about activity, but to have it hit home like this was very, very sudden.” While no contractors were detained at the Habitat site, the psychological toll on the workforce is palpable.

In the Mesa Del Sol area, the situation has been recurring. Pauline Hansen, a sales counselor for Twilight Homes, reported that ICE agents have visited sites in the subdivision multiple times in recent weeks. She confirmed that four subcontractors were detained during one operation, with another four arrested at an adjacent site shortly thereafter. “They’re going everywhere, apparently,” Hansen said. “It’s quite disturbing.”

This atmosphere of apprehension is delaying timelines across the region. Johanna Gilligan, CEO of the nonprofit developer Homewise, said that her organization is preparing for weeks of project delays.

Workers, particularly those specializing in stucco, are appearing at job sites in significantly lower numbers. Gilligan described the situation as a knock-on effect, where an abundance of caution among the labor force is exacerbating the existing challenges of building homes in a high-demand market.

A Stalled Policy Strategy

The current crackdown arrives as political conditions change. While the administration of President Donald Trump has revoked millions of work permits over the past two years, the recent midterm elections saw Democrats reclaim control over both chambers of Congress. This shift has created a narrow window for potential negotiation.

Conway and other industry leaders are looking for a way to address the labor shortfall, noting that the President expressed openness to negotiating work permits for specific industries in an interview following the election. For builders, the goal is to shift from the current enforcement-heavy approach toward a strategy that stabilizes the workforce.

“When I get that many calls and texts, there just seems to be an overwhelming energy to try and find a strategy forward,” Conway said. “We just really need a strategy forward that’s different than what’s happening now.”

As of Wednesday, ICE had not responded to requests for comment regarding whether the agency is intentionally stepping up its activity at construction sites or providing data on the total number of individuals detained. For now, developers and workers remain in a state of high alert, waiting to see if the current intensity of enforcement will persist or if a new, more sustainable arrangement can be reached.

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