Institutional planning drives monthly gains

BOSTON, MA – June 6, 2025 — The Dodge Momentum Index (DMI), issued by Dodge Construction Network, grew 3.7% in May to 211.2 (2000=100) from the downwardly revised April reading of 203.5. Over the month, commercial planning grew 0.8% while institutional planning improved 10.5%.

“Nonresidential planning continued to accelerate in May, primarily driven by strong project activity on the institutional side of the DMI,” stated Sarah Martin, associate director of forecasting at Dodge Construction Network. “Planning momentum moderately improved on the commercial side as well, following subdued growth in that sector over the last few months – outside of data centers. Increased economic and policy uncertainty will continue to contribute to heightened volatility in the project data – but in aggregate, planning activity is on steady footing.”

After a very strong April, data center projects returned to more typical levels in May and constrained overall commercial planning. Without data center projects, the commercial portion of the DMI would have improved 5% and the entire DMI would have grown 7% over the month. Accelerated warehouse and hotel planning drove the commercial portion of the Index, while office and retail planning remained flat. On the institutional side, a strong uptick in education and recreational projects drove this month’s gains, partially offset by a mild slowdown in healthcare planning.

In May, the DMI was up 24% when compared to year-ago levels. The commercial segment was up 15% from May 2024, and the institutional segment was up 47% after a weak May last year. If all data center projects between 2023 and 2025 are excluded, commercial planning would be up 4% from year-ago levels and the entire DMI would be up 17%.

A total of 33 projects valued at $100 million or more entered planning throughout May. The largest commercial projects included the $486 million Evolve Energy Partners Data Center in Warrenton, Missouri, the $366 million LEGO Warehouse and Distribution Facility in Prince George, Virginia, and the $330 million Summit Crossing Data Center (Building 2) in Fredericksburg, Virginia. The largest institutional projects to enter planning were the $500 million renovations to the Honda Center in Anaheim, California, the $238 million phase 2 of the Sterling Bay Pacific Center research and development building in San Diego, California, and the $201 million patient tower at Berkeley Medical Center in Martinsburg, West Virginia.

The DMI is a monthly measure of the value of nonresidential building projects going into planning, shown to lead construction spending for nonresidential buildings by a full year.

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Growth in select sectors offers a counterpoint to April’s slowdown. 

BOSTON, MA — May 21, 2025 — Total construction starts were down 9% in April to a seasonally adjusted annual rate of $1.03 trillion, according to Dodge Construction Network. Nonresidential building starts declined 3%, residential starts fell 4%, while nonbuilding starts decreased 22%. On a year-to-date basis through April, total construction starts were down 3% from last year. Nonresidential starts were down 10%, residential starts were down 5%, and nonbuilding starts were up by 8% over the same period. 

For the 12 months ending April 2025, total construction starts were up 2% from the 12 months ending April 2024. Residential starts were flat, nonresidential starts were up 1%, and nonbuilding starts rose 5% over the same period.  

“Broad-based monthly declines in construction starts represent a troubling signal for the sector,” stated Eric Gaus, chief economist at Dodge Construction Network. “While not definitive, the slowdown in April aligns with delays in the planning pipeline and other economic data that capture the volatility and uncertainty of all the April tariff announcements. Uncertainty around trade policy and the economy’s direction will continue to weigh on construction activity in the coming months.” 

Nonbuilding

Nonbuilding construction starts fell 22% in April to a seasonally adjusted annual rate of $279 billion. Highway and bridge starts decreased 8%, environmental public works fell back 2%, and utility starts were down 70% last month. Meanwhile, miscellaneous nonbuilding starts were up a strong 57% in April. On a year-to-date basis through April, nonbuilding starts were up 8%, with utility/gas starts up 37%, miscellaneous nonbuilding up 5%, highway and bridge starts up 7%, and environmental public work starts down 7% over the same period.  

For the 12 months ending April 2025, total nonbuilding starts were up 5%. Environmental public works improved 13% compared to the 12 months ending April 2024. Highway and bridge starts were up 4%, miscellaneous nonbuilding starts were up 16%, and utility/gas starts were down 6% over the same period.   

The largest nonbuilding projects to break ground in April were the $1.8 billion Hudson Tunnel Project (Manhattan Tunnel) in New York, New York, the $775 million West Alabama Highway project in Thomasville, Alabama, and the $365 million Carpenter Wind farm (200 MW) in Carpenter Township, Indiana.  

Nonresidential 

Nonresidential building starts receded 3% in April to a seasonally adjusted annual rate of $391 billion. Commercial starts were 21% lower in April, alongside weaker retail, office, and warehouse starts. Institutional starts, on the other hand, were up 2% last month following stronger healthcare and education starts. Manufacturing starts grew 78% over the month, as well. On a year-to-date basis through April, nonresidential starts are down 10% compared to April 2024. Commercial starts are up 3% and institutional starts are down 4% over the same period.  

For the 12 months ending April 2025, total nonresidential starts were up 1% compared to the 12 months ending April 2024. Commercial starts were up 12%, institutional starts improved 9%, and manufacturing starts were down 46% over the same period.  

The largest nonresidential building projects to break ground in April were the $1 billion Kaiser Permanente Medical Center in Sacramento, California, the $940 million Bally’s River West Hotel and Casino in Chicago, Illinois and two buildings for the GM & Samsung SDI Battery Cell Factory in New Carlisle, Indiana – valued at $855 million and $875 million respectively.  

Residential 

Residential building starts fell 4% in April to a seasonally adjusted annual rate of $360 billion. Single-family starts decreased by 5%, while multifamily starts receded 3%. On a year-to-date basis through April, residential starts are down 5%, with single-family starts down 6% and multifamily starts down 4%.  

For the 12 months ending April 2025, total residential starts were flat. Single-family starts were up 3% and multifamily starts were down 7% compared to the 12 months ending April 2024.  

The largest multifamily structures to break ground in April were a $331 million residential and retail development in Jersey City, New Jersey, the $256 million Vista Point apartments at Fairview Life Care Community in Groton, Connecticut, and the $226 million Rambler Riverfront District apartments in West Lafayette, Indiana.  

Regionally, total construction starts in April rose in the Midwest, and declined in the Northeast, South Atlantic, South Central, and West.

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Data center surge offsets weakness in other categories.

BOSTON, MA – May 7, 2025 — The Dodge Momentum Index (DMI), issued by Dodge Construction Network, grew 0.9% in April to 205.1 (2000=100) from the downwardly revised March reading of 203.1. Over the month, commercial planning grew 3.3% while institutional planning fell 4.2%. 

“Despite an uptick in April, the bulk of the DMI’s growth was driven by a surge in data center planning, while momentum in other nonresidential sectors lagged behind,” stated Sarah Martin, associate director of forecasting at Dodge Construction Network. “Owners and developers are navigating heightened economic and policy uncertainty, which likely bogged down much of this month’s planning activity.”  

A wave of data center projects entering planning played a key role in boosting commercial growth. Without data centers, commercial planning would have receded 2.3% in April and the entire DMI would have receded 3.0%. Office and hotel planning saw a sharp retreat this month, while warehouse and retail planning modestly ticked up. On the institutional side, planning momentum waned for education, healthcare, and government buildings. This was slightly offset by an uptick in recreational projects.  

In April, the DMI was up 22% when compared to year-ago levels. The commercial segment was up 20% from April 2024, and the institutional segment was up 26% after a weak April last year. If we remove all data center projects between 2023 and 2025, commercial planning would be down 1% from year-ago levels and the entire DMI would be up 7%.  

 A total of 40 projects valued at $100 million or more entered planning throughout April. The largest commercial projects included the TA Realty LLC Data Center campus in Dulles, Virginia – which includes five data centers, each valued at $384 million. It also included the $350 million QTS Data Center DFW2-DC3 in Lancaster, Texas and the Powhatan Data Center Campus in Powhatan, Virginia – which includes three data centers, each valued at $300 million. The largest institutional projects to enter planning were the $493 million Revere High School in Revere, Massachusetts, the $230 million Kaiser Permanente Sunnyside Medical Center Hospital Tower in Clackamas, Oregon, and the $203 million Kailua-Kona Hospital in Kaiminani, Hawaii.  

The DMI is a monthly measure of the value of nonresidential building projects going into planning, shown to lead construction spending for nonresidential buildings by a full year. 

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Most nonresidential sectors faced slower planning over the month 

BOSTON, MA – April 9, 2025 — The Dodge Momentum Index (DMI), issued by Dodge Construction Network, receded 6.9% in March to 205.6 (2000=100) from the revised February reading of 220.9. Over the month, commercial planning declined 7.8% while institutional planning fell 5.0%.  

“Increased uncertainty around material prices and fiscal policies may have begun to factor into planning decisions throughout March,” stated Sarah Martin, associate director of forecasting at Dodge Construction Network. “While planning data has weakened across most nonresidential sectors this month, activity remains considerably higher than year-ago levels and still suggests steady construction activity in mid-2026.”  

On the commercial side, weaker planning activity for warehouses, data centers and retail stores drove this month’s decline. Meanwhile, hotel and office planning continued to accelerate. On the institutional side, planning activity slowed for education, healthcare and government buildings. In March, the DMI was up 30% when compared to year-ago levels. The commercial segment was up 32% from March 2024. The institutional segment was up 27% over the same period, following a very weak March last year. The influence of data centers on the DMI this year remains substantial. If we remove all data center projects between 2023 and 2025, commercial planning would be up 4% from year-ago levels, and the entire DMI would be up 12%. While momentum decelerated for data centers this month, levels of activity remain very high.  

A total of 25 projects valued at $100 million or more entered planning throughout March. The largest commercial projects included the $400 million Logistics Land Investments Data Center in Bessemer, Alabama, the $340 million expansion to the Ontario Convention Center and Hotel in Ontario, California, and the $300 million Project Cinco Data Center (300 MW) in Natalia, Texas. The largest institutional projects to enter planning were the $500 million ambulatory care building at Scripps San Marcos Medical Center, the $165 million Roanoke High School in Roanoke, Virginia and the $135 million Milken Community School expansion in Los Angeles, California.  

The DMI is a monthly measure of the value of nonresidential building projects going into planning, shown to lead construction spending for nonresidential buildings by a full year. 

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Growth in some sectors offset weakness in others.

BOSTON, MA — March 24, 2025 — Total construction starts were up 0.5% in February to a seasonally adjusted annual rate of $1.1 trillion, according to Dodge Construction Network. Nonresidential building starts grew 2%, residential starts decreased 1%, while nonbuilding starts were unchanged. On a year-to-date basis through February, total construction starts were down 2% from last year. Nonresidential starts were down 14%, residential starts were down 3% and nonbuilding starts were up by 16% over the same period. 

For the 12 months ending February 2025, total construction starts were up 3% from the 12 months ending February 2024. Residential starts were up 3%, nonresidential starts were flat, and nonbuilding starts rose 7% over the same period.  

“While increased uncertainty over the trajectory of monetary and fiscal policies may be informing some of the flat month-to-month trends – the largest construction sectors still saw growth in activity throughout February,” stated Sarah Martin, associate director of forecasting at Dodge Construction Network. “Steady growth in planning activity throughout 2024 should support stronger construction starts in future months – but owners and developers will have to factor in higher risk around elevated material costs, supply chain volatility and further labor constraints.” 

Nonbuilding 

Nonbuilding construction starts were flat in February at a seasonally adjusted annual rate of $334 billion. Highway and bridge starts and environmental public works both increased 8% but utility/gas starts were down 21% and miscellaneous nonbuilding starts receded 10% over the month. On a year-to-date basis through February, nonbuilding starts were up 16% in February – with utility/gas starts up 68%, miscellaneous nonbuilding down 5%, highway and bridge starts up 20%, and environmental public work starts up 1% over the same period.  

For the 12 months ending February 2025, total nonbuilding starts were up 7%. Environmental public works led the way, improving 18% compared to the 12 months ending February 2024. Highway and bridge starts were up 7%, miscellaneous nonbuilding starts were up 16% and utility/gas starts were down 7% over the same period.  

The largest nonbuilding projects to break ground in February were the $1.4 billion road work on the Westshore Interchange in Tampa, Florida, the $1.1 billion Kensico-Eastview Connection Tunnel and Shafts in Valhalla, New York and the $1.0 billion Aratina Solar farm in Boron, California.  

Nonresidential 

Nonresidential building starts improved 2% in February to a seasonally adjusted annual rate of $402 billion. Commercial starts were 22% higher in February, alongside strong office, hotel, and parking garage starts. Institutional starts, on the other hand, were down 2% in February following weaker healthcare activity after a multi-billion-dollar hospital started in January. Manufacturing starts fell 48% over the month. On a year-to-date basis through February, nonresidential starts are down 14% compared to February 2024. Commercial starts are down 8% and institutional starts are up 11% over the same period.  

For the 12 months ending February 2025, total nonresidential starts were flat compared to the 12 months ending February 2024. Commercial starts were up 7%, institutional starts improved 15%, and manufacturing starts were down 51% over the same period.  

The largest nonresidential building projects to break ground in February were the $1.8 billion terminal at John Glenn Columbus Airport in Columbus, Ohio, the $1.5 billion Lyndon B. Johnson Hospital replacement in Houston, Texas and the $1.45 billion renovations to the Jacksonville Jaguars EverBank Stadium in Jacksonville, Florida.  

Residential 

Residential building starts fell 1% in February to a seasonally adjusted annual rate of $401 billion. Single family starts increased by 1%, while multifamily starts fell back 6%. On a year-to-date basis through February, residential starts are down 3% when compared to February 2024 – with single family starts up 2% and multifamily starts down 11%.  

For the 12 months ending February 2025, total residential starts were up 3% – while single family starts were up 11% and multifamily starts were down 11% compared to the 12 months ending February 2024.  

The largest multifamily structures to break ground in February were the $478 million condominiums at The Residences at 1428 Brickell in Miami, Florida, the $335 million Highbridge Apartment Building in Highbridge, New York and the $265 million Tower 2 at The Standard Residences Brickell in Miami, Florida.  

Regionally, total construction starts in February rose in the Northeast, Midwest, South Atlantic and West, but fell in the South Central.   

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Nonresidential starts largely paused over the month

BOSTON, MA — February 21, 2025 — Total construction starts fell 6% in January to a seasonally adjusted annual rate of $1.1 trillion, according to Dodge Construction Network. Nonresidential building starts receded 18%, residential starts decreased 1%, while nonbuilding starts moved 4% higher. On a year-over-year basis, total construction starts were down 6% from January 2024. Nonresidential starts were down 22%, residential starts were down 2% and nonbuilding starts were up by 17% over the same period. 

For the 12 months ending January 2025, total construction starts were up 4% from the 12 months ending January 2024. Residential starts were up 5%, nonresidential starts were flat, and nonbuilding starts rose 7% over the same period.  

“After robust data center starts in November and December, total office starts fell back in January to more historically typical levels and drove a sizable piece of the month-to-month decline,” stated Sarah Martin, associate director of forecasting at Dodge Construction Network. “However, most nonresidential sectors saw weakness over the month. Ongoing labor shortages and high material costs will continue to pose risks to the sector, along with concerns over tariffs and stricter immigration enforcement. Projects are likely to continue moving through the planning queue slowly, until the Federal Reserve resumes cutting rates in the back half of the year.” 

Nonbuilding

Nonbuilding construction improved 4% in January to a seasonally adjusted annual rate of $337 billion. Highway and bridge starts rose 14%, miscellaneous nonbuilding starts were up 26%, and utility/gas starts improved 1% over the month. Meanwhile, environmental public works fell 14%. On a year-over-year basis, nonbuilding starts were up 17% – with utility/gas starts up 84%, miscellaneous nonbuilding up 25%, highway and bridge starts up 10%, and environmental public work starts flat compared to January 2024.  

For the 12 months ending January 2025, total nonbuilding starts were up 7%.  

Miscellaneous nonbuilding starts led the way, improving 26% compared to the 12 months ending January 2024. Environmental public works were up 21%, highway and bridge starts were up 5%, and utility/gas starts were down 11% over the same period.  

The largest nonbuilding projects to break ground in January were the $1.1 billion Sequoia Solar Farm (815 MW) in Callahan County, Texas, the $696 million NHHIP Segment 3B-2 road widening project in Houston, Texas and phase two of the Beaver Stadium renovations, valued at $630 million, in University Park, Pennsylvania.  

Nonresidential 

Nonresidential building starts receded 18% in January to a seasonally adjusted annual rate of $393 billion. Commercial starts were 41% lower in January, alongside weak office and hotel starts. Institutional starts, on the other hand, were up 4% in January following growth in healthcare and recreational projects. Manufacturing starts fell 16% over the month. On a year-over-year basis, nonresidential starts are down 22% compared to January 2024. Commercial starts are down 18% and institutional starts are down 1% over the same period.  

For the 12 months ending January 2025, total nonresidential starts were flat compared to the 12 months ending January 2024. Commercial starts were up 7%, institutional starts improved 13%, and manufacturing starts were down 45% over the same period.  

The largest nonresidential building projects to break ground in January were the $5 billion Children’s Health & UTSW New Pediatric Campus in Dallas, Texas, the $333 million Mid-Hudson Forensic Psychiatric Hospital in New Hamptom, New York and the $307 million Timber Mill High School and Athletic Field in Conroe, Texas.  

Residential 

Residential building starts fell 1% in January to a seasonally adjusted annual rate of $407 billion. Single-family starts fell 2%, while multifamily starts improved 2%. On a year-over-year basis, residential starts are down 2% compared to January 2024, with single–family starts up 6% and multifamily starts down 15%.  

For the 12 months ending January 2025, total residential starts were up 5%, while single-family starts were up 14%, and multifamily starts were down 10% compared to the 12 months ending January 2024.  

The largest multifamily structures to break ground in January were the $470 million Ulana Ward Village Tower Building in Honolulu, Hawaii, the $400 million JEM residences at Miami World Center in Miami, Florida, and the $279 million Alafia Affordable Apartments in Spring Creek, New York.  

Regionally, total construction starts in January rose in the Northeast and South Central, but fell in the Midwest, South Atlantic, and West.   

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Nonbuilding Starts Led This Month’s Decline

BOSTON, MA — January 21, 2024 — Total construction starts decreased 2% in December to a seasonally adjusted annual rate of $1.2 trillion, according to Dodge Construction Network. Nonresidential building starts grew 2%, nonbuilding starts moved 14% lower, while residential building starts grew 4%. On a year-to-date basis through December, total construction starts were up 6% from 2023. Nonresidential starts were up 4%, residential starts were up 7% and nonbuilding starts were up by 7%. 

For the 12 months ending December 2024, total construction starts were up 6% from the 12 months ending December 2023. Residential starts were up 7%, nonresidential starts were up 4% and nonbuilding starts rose 7% over the same period.  

“Rate cuts prior to December supported some momentum in multifamily and commercial starts over the month,” stated Sarah Martin, associate director of forecasting at Dodge Construction Network. “Sustained labor shortages and elevated materials prices will continue to add risk to the sector, in addition to the concern over tariffs and more strict immigration enforcement. Overall, the strength in the value of projects in planning and further Fed rate cuts should encourage growth in construction in 2025.” 

Nonbuilding

Nonbuilding construction declined 14% in December to a seasonally adjusted annual rate of $322 billion. Environmental public works starts receded 18%, while utility/gas starts moved 1% higher, and miscellaneous nonbuilding starts fell 36%. Highway and bridge starts dropped 5% in December.  In 2024, total nonbuilding starts were 7% higher when compared to a year ago. Miscellaneous nonbuilding starts were up 26%, environmental public works starts were 24% higher, and highway and bridge starts improved by 6%, but utility/gas starts were down 14% through December.   

The largest nonbuilding projects to break ground in December were the $740 million Donald C. Tillman Advanced Water Purification Facility in Los Angeles, California, the $650 million Pulaski Solar Farm (405 MW) in Karnak, Illinois, and the $483 million Kelso Solar Farm (349 MW) in Blodgett, Missouri.   

Nonresidential 

Nonresidential building starts rose 2% in December to a seasonally adjusted annual rate of $482 billion. Commercial starts were 6% higher during the month thanks to an increase in data center, hotel, and retail starts, while institutional starts fell 3%. Manufacturing starts rose 19% over the month. In 2024, total nonresidential starts were up 4%. Institutional starts were 16% higher, while commercial starts were up 8%, and manufacturing starts were 35% lower on a year-to-date basis through December.

The largest nonresidential building projects to break ground in December were the $1.6 billion Lyndon B. Johnson Hospital Replacement in Houston, Texas, the $1.2 billion San Antonio International Airport Terminal C Development in San Antonio, Texas and the $1.1 billion Hard Rock Hotel in Las Vegas, Nevada.     

Residential 

Residential building starts grew 4% in December to a seasonally adjusted annual rate of $397 billion. Single-family starts fell 3%, while multifamily starts were up 24%. In 2024, total residential starts were 7% higher. Single-family starts increased 15%, and multifamily starts were down 7% on a year-to-date basis through December.  

The largest multifamily structures to break ground in December were the $510 million St. Regis Residences development in Miami, Florida, the $350 million Reflections Lakeside Resort in Orlando, Florida and the $210 million Ritz-Carlton Residences in The Woodlands, Texas.  

Regionally, total construction starts in December rose in the Midwest and South Atlantic regions, but fell in the Northeast, South Central, and West regions.  

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Nonbuilding starts drive month-over-month expansion

BEDFORD, MA —December 19, 2024 — Total construction starts increased 5% in November to a seasonally adjusted annual rate of $1.2 trillion, according to Dodge Construction Network. Nonresidential building starts grew 2%, nonbuilding starts moved 16% higher, while residential building starts fell 1%. On a year-to-date basis through November, total construction starts were up 5% from the first 11 months of 2023. Nonresidential starts were up 4%, residential starts were up 7% and nonbuilding starts were up by 5%. 

For the 12 months ending November 2024, total construction starts were up 4% from the 12 months ending November 2023. Residential starts were up 7%, nonresidential starts were up 2% and nonbuilding starts rose 4% over the same period.  

“Construction starts continue to move sideways as the market waits for further rate cuts,” stated Richard Branch, chief economist of Dodge Construction Network. “Elevated interest rates, labor shortages, and strict lending standards will continue to constrain construction activity in the near term.” 

Nonbuilding

Nonbuilding construction grew 16% in November to a seasonally adjusted annual rate of $368 billion. Environmental public works starts jumped 63%, while utility/gas starts moved 35% higher, and miscellaneous nonbuilding starts grew 3%. Highway and bridge starts fell 11% in November.  On a year-to-date basis through November, total nonbuilding starts were 5% higher when compared to a year ago. Miscellaneous nonbuilding starts were up 27%, environmental public works starts were 16% higher, and highway and bridge starts improved by 6%, but utility/gas starts were down 16% through November.  

For the 12 months ending November 2024, total nonbuilding starts were 4% higher than the 12 months ending November 2023. Miscellaneous nonbuilding starts were 27% higher, environmental public works gained 14%, highway and bridge starts increased by 6%, but utility/gas starts were down 18%.  

The largest nonbuilding projects to break ground in November were a $2.9 billion Central Everglades Reservoir Embankment projects in Palm Beach County, Florida, the $2.0 billion Bahia NGL Pipeline across several counties in Texas, and the $1.4 billion SR 520, I-5 to Montlake bridge replacement in Seattle, Washington.  

Nonresidential 

Nonresidential building starts rose 2% in November to a seasonally adjusted annual rate of $470 billion. Commercial starts were 43% higher during the month thanks to an increase in data center, warehouse, and parking garage starts, while institutional starts fell 9% following a strong gain in October. Manufacturing starts, which posted a large gain in October, retreated, falling 52%. On a year-to-date basis through November, total nonresidential starts were up 4%. Institutional starts were 17% higher, while commercial starts were up 5%, and manufacturing starts were 33% lower on a year-to-date basis through November.  

For the 12 months ending November 2024, nonresidential building starts were up 2% when compared to the previous 12 months. Manufacturing starts were down 40%, commercial starts were up 5%, and institutional starts were 18% higher for the 12 months ending November 2024.

The largest nonresidential building projects to break ground in November were the $3.4 billion Brooklyn Detention Facility in Boerum Hill, New York, the $1.4 billion AWS Amazon data center in Ridgeland, Mississippi, and the $750 million Frontier Scientific cold storage facility in Wilmington, North Carolina.    

Residential 

Residential building starts fell 1% in November to a seasonally adjusted annual rate of $371 billion. Single-family starts rose 5%, while multifamily starts were down 12%. On a year-to-date basis through 11 months, total residential starts were 7% higher. Single-family starts increased 15%, and multifamily starts were down 9% on a year-to-date basis. 

For the 12 months ending November 2024, residential starts were 7% higher than the previous 12 months. Single-family starts were 16% higher, while multifamily starts were 9% lower on a 12-month rolling sum basis.

The largest multifamily structures to break ground in November were the $675 million Utopia Living apartments in Flushing, New York, the $312 million Calyer Place residential building in Greenpoint, New York, and the $235 million Hoboken Connect mixed-use development in Hoboken, NJ. 

Regionally, total construction starts in November rose in the Northeast, South Atlantic, and West and South Central regions but fell in the Midwest.  

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Nonresidential starts gain ground offsetting residential weakness 

BEDFORD, MA —November 21, 2024 — Total construction starts increased 4% in October to a seasonally adjusted annual rate of $1.2 trillion, according to Dodge Construction Network. Nonresidential building starts grew 14%, nonbuilding starts moved 2% higher, while residential building starts fell 3%. On a year-to-date basis through October, total construction starts were up 3% from the first 10 months of 2023. Residential starts were up 7%, nonresidential buildings rose 1%, and nonbuilding starts were up by less than one percent.  

For the 12 months ending October 2024, total construction starts were up 1% from the 12 months ending October 2023. Residential starts were up 6% and nonresidential and nonbuilding starts were each down 1%.  

“Construction starts have yet to see the impact of falling interest rates,” said Richard Branch chief economist of Dodge Construction Network. “Several more rate cuts will be needed to start moving construction projects through the planning process to start. Clarity, though, has improved now that the election is in the rearview mirror; however, developers may wait until the full scope of President-elect Trump’s legislative agenda comes into better focus.”

Nonbuilding

Nonbuilding construction rose 2% in October to a seasonally adjusted annual rate of $314 billion. Miscellaneous nonbuilding starts jumped 38% during the month, while highway and bridge starts moved 7% higher, environmental public works starts fell 6%, and utility/gas plants lost 25%. On a year-to-date basis through October total nonbuilding starts were flat when compared to a year ago. Miscellaneous nonbuilding starts were up 19%, environmental public works starts were 9% higher, and highway and bridge starts improved by 5%, but utility/gas starts were down 21% through October.  

For the 12 months ending October 2024, total nonbuilding starts were 1% lower than the 12 months ending October 2023. Miscellaneous nonbuilding starts were 19% higher, environmental public works gained 6%, highway and bridge starts increased by 5%, but utility/gas starts were down 22%.  

The largest nonbuilding projects to break ground in October were a $1.6 billion natural gas pipeline and gathering system in and around Haynesville, Louisiana, the $1.3 billion Amtrack-Connecticut River bridge replacement in Old Saybrook, Connecticut, and the $1 billion Frederick Douglas Tunnel Southern Approach in Baltimore, Maryland.  

Nonresidential 

Nonresidential building starts climbed 14% in October to a seasonally adjusted annual rate of $466 million. Manufacturing starts rose 114% during the month due to the start of several large projects. Institutional starts rose 13% due to higher levels of activity for education and transportation. Commercial starts fell 3% despite gains in hotel and parking starts. On a year-to-date basis through October, total nonresidential starts were up 1%. Institutional starts were 16% higher, while commercial starts were down 1%, and manufacturing starts were 33% lower on a year-to-date basis through October.  

For the 12 months ending October 2024, nonresidential building starts were down 1% when compared to the previous 12 months. Manufacturing starts were down 37%, commercial starts were down 4%, and institutional starts were 17% higher for the 12 months ending October 2024.

The largest nonresidential building projects to break ground in October were the $2.2 billion Henry Ford hospital tower in Detroit, Michigan, the $1.4 billion third phase of the LG Electric Battery plant expansion for Toyota vehicles in Holland, Michigan, and the $1.1 billion second phase of the Southwest Florida Airport expansion in Fort Meyers, Florida.   

Residential 

Residential building starts fell 3% in October to a seasonally adjusted annual rate of $373 billion. Single-family starts lost 4%, while multifamily starts were down 2%. On a year-to-date basis through 10 months, total residential starts were 7% higher. Single-family starts jumped 17%, and multifamily starts were down 9% on a year-to-date basis.  

For the 12 months ending October 2024, residential starts were 6% higher than the previous 12 months. Single-family starts were 17% higher, while multifamily starts were 11% lower on a 12-month rolling sum basis.

The largest multifamily structures to break ground in October were the $384 million Federick E Samuel apartments in New York, NY, the $190 million Rivage Bal Harbour luxury condominiums in Bal Harbour, Florida, and the $190 million 1 K St. Southwest mixed-use building in Washington, D.C.  

Regionally, total construction starts in October rose in the Northeast, Midwest and South Atlantic, but fell in the West and South Central regions. 

The post Construction Starts Increase 4% in October appeared first on Dodge Construction Network.

BEDFORD, M.A. – November 14, 2024 – Dodge Construction Network (“Dodge” or the “Company”), a portfolio company of Clearlake Capital Group, L.P. (together with its affiliates “Clearlake”) and STG Partners, LLC (“STG”), today announced significant business milestones including executive changes and the successful closing of a financing transaction.

Dodge raised $100 million of new capital and extended debt maturities, further bolstering its liquidity position and financial flexibility. The transaction is open to holders of all of its existing first lien and second lien term loans.

Dodge also announced today that Andrew Somosi has been appointed as the Company’s new Chief Executive Officer, replacing Daniel McCarthy, who is stepping down. Mr. Somosi was most recently Head of the Americas at Gerson Lehrman Group (GLG), and previously held leadership roles at Nielsen, Lattice Engines and LexisNexis, after beginning his career at McKinsey & Company.

In addition, Johann Dudley has joined Dodge as Chief Product Officer. Mr. Dudley most recently held product leadership roles at Flywheel Digital (acquired by Omnicom) and Nielsen.

“I am excited to join Dodge to help drive its next chapter of growth and business transformation. In my extensive research preparing for my role, I was impressed by the breadth and scale of Dodge’s lead-generation, marketing, analytics and consulting solutions, which empower tens of thousands of companies to grow their businesses in the multi-trillion dollar U.S. commercial construction industry,” said Mr. Somosi. “We are pleased with the successful completion of this transaction, which strengthens our financial position and provides ample flexibility to pursue growth and innovation. The continued support of Clearlake and STG highlight their confidence in Dodge’s opportunities and potential.”

“This new capital and the strengthening of the leadership team represent important milestones on Dodge’s journey,” said Ben Kruger, Principal at Clearlake and Adam Hendricks, Managing Director at STG. “We thank Dan for his service and look forward to supporting Andrew and the Dodge team in its quest to serve the commercial construction industry and power its customers’ growth.”

About Clearlake
Clearlake Capital Group, L.P. is an investment firm founded in 2006 operating integrated businesses across private equity, credit and other related strategies. With a sector-focused approach, the firm seeks to partner with experienced management teams by providing patient, long-term capital to dynamic businesses that can benefit from Clearlake’s operational improvement approach, O.P.S.^® The firm’s core target sectors are technology, industrials, and consumer. Clearlake currently has over $85 billion of assets under management and its senior investment principals have led or co-led over 400 investments. The firm is headquartered in Santa Monica, CA with affiliates in Dallas, TX, London, UK, Dublin, Ireland Singapore and Abu Dhabi, UAE. More information is available at www.clearlake.com.

About STG
STG is a private equity partner to market-leading companies in data, software, and analytics. The firm brings experience, flexibility, and resources to build strategic value and unlock the potential of innovative companies. Partnering to build customer-centric, market-winning portfolio companies, STG creates sustainable foundations for growth that bring value to existing and future stakeholders. The firm is dedicated to transforming and building outstanding technology companies in partnership with world-class management teams. STG’s expansive portfolio has consisted of more than 50 global companies. For more information, please visit www.STG.com.

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