Dodge Momentum Index Increases in February

NEW YORK, N.Y. – The Dodge Momentum Index climbed 0.5 percent in February to 126.1 (2000=100) from its revised January reading of 125.5. The 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. February’s increase was the third consecutive month-to-month gain for the index, as a 1.0 percent pickup by commercial planning reports overcame a slight 0.1 percent decline by institutional planning. While commercial planning activity is still below the levels present throughout much of 2015, it has made a moderate recovery following the decline witnessed in late-2015. Institutional planning, despite easing back in February, continues to be above last year’s levels due to the generally upward trend registered over the course of 2015.

In February, seven projects entered planning with a value that exceeded $100 million. For the commercial building sector, the leading projects were a $190-million office renovation in New York, New York; a $140-million hotel and casino in Gulfport, Mississippi and a $129-million mixed-use project in Long Island City, New York. For the institutional building sector, the leading projects were a $500-million medical complex in Indianapolis, Indiana and a $180-million hospital in Valhalla, New York.