Skip to content

Dodge: Construction starts down through four months of year

Dodge Construction Network logo
Dodge Construction Network logo

Total construction starts were down 9 percent in April to a seasonally adjusted annual rate of $1.03 trillion, according to Dodge Construction Network.

Nonresidential building starts declined 3 percent in April, residential starts fell 4 percent and nonbuilding starts decreased 22 percent.

On a year-to-date basis through April, Dodge says total construction starts are down 3 percent from last year. Nonresidential starts are down 10 percent, residential starts are down 5 percent, and nonbuilding starts are up by 8 percent over the same period. 

“Broad-based monthly declines in construction starts represent a troubling signal for the sector,” says 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 percent in April to a seasonally adjusted annual rate of $279 billion.

Highway and bridge starts decreased 8 percent, environmental public works fell back 2 percent and utility starts were down 70 percent in April. Miscellaneous nonbuilding starts, meanwhile, were up 57 percent last month.

On a year-to-date basis through April, nonbuilding starts are up 8 percent, with utility/gas starts up 37 percent, miscellaneous nonbuilding up 5 percent, highway and bridge starts up 7 percent, and environmental public work starts down 7 percent.

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

Nonresidential 

Nonresidential building starts receded 3 percent in April to a seasonally adjusted annual rate of $391 billion.

Commercial starts were 21 percent lower in April, alongside weaker retail, office and warehouse starts. Institutional starts, on the other hand, were up 2 percent last month following stronger health care and education starts. Manufacturing starts grew 78 percent in April, as well.

On a year-to-date basis through April, nonresidential starts are down 10 percent compared to April 2024. Commercial starts are up 3 percent, and institutional starts are down 4 percent.

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, 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 percent in April to a seasonally adjusted annual rate of $360 billion.

Single-family starts decreased by 5 percent while multifamily starts receded 3 percent.

On a year-to-date basis through April, residential starts are down 5 percent, with single-family starts down 6 percent and multifamily starts down 4 percent.  

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, Dodge says total construction starts in April rose in the Midwest while declining in the Northeast, South Atlantic, South Central, and West.

Related: Aggregate production down 6 percent in 2024

To top