According to Dodge Data & Analytics, the value of new construction starts in April increased 10 percent from March to a seasonally adjusted annual rate of $698.7 billion and a Dodge Index of 148. The increase can be attributed to strength in the nonresidential building sector as well as two large projects – a $8.1 billion petrochemical plant in Louisiana and a $1.2 billion office/retail high-rise in New York.
In April, nonresidential building surged forward 58 percent to $288.9 billion, with much of the increase coming from the manufacturing plant category, which rose 516 percent. The commercial building group grew 11 percent and the office building category rose 50 percent. Also, store construction improved 2 percent and warehouse construction climbed 17 percent, while hotel construction dropped 23 percent.
In addition, the institutional building group grew 7 percent, with educational facilities rising 9 percent, the transportation terminal category growing 33 percent, health care facilities increasing 18 percent, and the amusement and recreational category advancing 15 percent. Despite this, public buildings were down 21 percent and religious buildings fell 57 percent.
Residential building slipped 3 percent in April to $245.1 billion, with single family housing falling 4 percent and multifamily housing retreating 2 percent.
Finally, nonbuilding construction in April fell 17 percent to $164.7 billion. The public works category decreased 26 percent, highway and bridge construction retreated 31 percent, and the miscellaneous public works category fell 8 percent. In addition, the environmental public works category experienced decreases in water supply systems, sewer construction and river/harbor development. Coming back from a 73 percent plunge in March, however, the electric utility and gas plant category strengthened 25 percent.
