The Dodge Momentum Index dropped 5.1 percent in January to 143.7 from its revised December reading of 151.5, reports Dodge Data & Analytics.
According to Dodge Data & Analytics, in January, the commercial component of the Dodge Momentum Index was down 7.8 percent and the institutional component was down 0.9 percent.
The fourth quarter of 2017 was particularly strong for the index, and January’s retreat returns it to a more sustainable level, Dodge Data & Analytics adds.
In January, five projects, each with a value of $100 million or more, entered planning. For the commercial sector, the leading projects were a $200 million office building in Boston and a $152 million warehouse in Banning, California. For the institutional sector, the leading projects were a $440 million water park in Branson, Missouri, and a $123 million assisted living facility in Milwaukee.
On a year-over-year basis, the Dodge Momentum Index is 7.7 percent higher, with both the commercial and institutional sectors showing improvement.
The Dodge Momentum Index is a monthly measure of the first (or initial) report for nonresidential building projects in planning, which have been shown to lead construction spending for nonresidential buildings by a full year. Dodge Data & Analytics provides analytics and software-based workflow integration solutions for the construction industry.
