Dodge Momentum Index Ends 2020 on High Note

  • Posted on

The Dodge Momentum Index jumped 9.2% in December to 134.6 (2000=100) from the revised November reading of 123.3. The momentum index, issued by Dodge Data & Analytics, 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. The commercial component of the momentum index rose 14.0%, while the institutional component rose by 0.3%. The gain in the commercial component of the momentum index was heartening even though the increase was mostly the result of a sizeable increase in warehouse … Read more

Filed under: Economic News, eNewsTagged with: ,

Nonresidential Construction Spending Shrinks, Says AGC

  • Posted on

Construction spending was a tale of two industries again in November, as soaring single-family construction masked ongoing downturns in private and public nonresidential construction, according to an analysis of new federal construction spending data by the Associated General Contractors of America. Association officials said the new figures underscore the need for new infrastructure investments and other measures to boost demand for nonresidential construction amid the pandemic. “Private nonresidential construction declined for the fifth-straight month in November, while public nonresidential spending slipped for the fifth time in the past six months,” said Ken Simonson, the association’s chief economist. “Unfortunately, our latest … Read more

Filed under: Economic NewsTagged with: , ,

New Industry Outlook Reports on Industry Struggles with Declining Demand, Growing Project Delays + Cancelations

  • Posted on

Most contractors expect demand for many types of construction to shrink in 2021 even as the pandemic is prompting many owners to delay or cancel already-planned projects, meaning few firms will hire new workers, according to survey results released by the Associated General Contractors of America and Sage Construction and Real Estate. The findings are detailed in The Pandemic’s Growing Impacts on the Construction Industry: The 2021 Construction Hiring and Business Outlook Report.   “This is clearly going to be a difficult year for the construction industry,” said Stephen E. Sandherr, the association’s CEO. “Demand looks likely to continue shrinking, … Read more

Filed under: Economic NewsTagged with: , , ,

New Coronavirus Recovery Measure to Provide Relief for Contractors Coping with Project Cancelations, Falling Demand

  • Posted on

The Associated General Contractors of America’s CEO Stephen E. Sandherr issued the following statement in reaction to the release of compromise coronavirus relief legislation slated for House and Senate votes as early as Dec. 21:   “The new coronavirus recovery measure announced today should provide some needed relief for a construction industry that is coping with project cancellations and job losses in most parts of the country. Most notably, the measure includes $10 billion in needed funding to help address the pandemic-induced shortfalls in state transportation revenues. This new funding should keep a number of road projects from getting canceled … Read more

Filed under: Economic NewsTagged with: , , , ,

One-Third Metro Areas Add Construction Jobs in Latest 12 Months

  • Posted on

Only 30% of the nation’s metro areas added construction jobs in the past year, according to an analysis of new government data that the Associated General Contractors of America released. Association officials said construction employment in most parts of the country was being impacted by the pandemic as businesses and local governments curtail planned construction projects. “The pandemic has devastated the finances for businesses, institutions and state and local governments, leading to widespread postponements and cancellations of construction projects,” said Ken Simonson, the association’s chief economist. “As contractors use up the funds from Paycheck Protection Program loans, even more job … Read more

Filed under: Economic News, eNewsTagged with: , , ,