Dodge Momentum Index Falls in November

NEW YORK, N.Y. — The Dodge Momentum Index fell 3.7 percent in November to 119.9 (2000=100) from its October reading of 124.5. The 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.

Previously, the index had posted large month-to-month increases in July (+4.6 percent) and September (+4.9 percent). The loss of momentum seen in October and again in November is returning the index to a level that’s more consistent with the gentle upward trend in planning activity that began in 2012. The decline in November for the overall index was the result of a 10.2 percent slide in commercial planning activity, while projects entering planning in the institutional sector increased by 5.3 percent.

There were a total of seven projects entering planning in November, each with a value that exceeded $100 million. For the commercial building sector, the leading projects were a $160-million office building in Boston, Massachusetts and a $130-million retail project in Somerville, Massachusetts. For the institutional building sector, the leading projects were a $325-million alteration of the American Museum of Natural History in New York, New York and a $238-million hospital in Chula Vista, California.

Dodge Momentum Index (Year 2000=100)
	Nov-15	Oct-15	% Change
Dodge Momentum Index	119.9	124.5	-3.7%
Commercial Building	118.7	132.1	-10.2%
Institutional Building	121.1	115.0	5.3%

 

 

 

 

 

 

Source: Dodge Data & Analytics.