According to Dodge Data & Analytics, the value of new construction starts climbed 9 percent in January to a seasonally adjusted annual rate of $621 billion with a Dodge Index of 131. The increase in January construction was due in large part to the nonbuilding construction sector, which benefited from the start of a liquefied natural gas terminal facility in Texas.
In January, nonbuilding construction climbed 87 percent to $231.8 billion. The electric power and gas plant category soared 840 percent, the public works portion grew 7 percent and the miscellaneous public works category rose 49 percent. In addition, sewer construction increased 30 percent and water supply construction was up 12 percent.
Nonresidential building fell 17 percent to $159.3 billion in January, with much of the decline due to the manufacturing plant category, which decreased 61 percent. The commercial categories as a group also retreated, lowering 13 percent. New hotel construction starts were down 31 percent, store construction decreased 5 percent and office construction fell 3 percent. Warehouse construction was the one commercial project type that reported a gain of 4 percent.
In addition, institutional categories as a group were down 13 percent in January, with educational facilities construction dropping 12 percent and healthcare facilities construction down 31 percent. Church construction, however, raised 57 percent.
Residential building dropped 9 percent in January to $230.0 billion. Multifamily housing fell 30 percent and single-family housing remain unchanged from December.
