NEW
YORK – October 6, 2017 – The Dodge Momentum Index fell in September,
moving 8.4% lower to 116.4 (2000=100) from the revised August reading of
127.1. 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. Both components of the Momentum Index declined
in September. The institutional building component fell 11.5% from
August, while the commercial building component fell 6.1%. While the
overall Momentum Index has lost ground for four consecutive months, this
should not be seen, in and of itself, as a predictor of a turn in
building markets. Prior to the previous peak of the Momentum Index in
January 2008 it had suffered similar significant declines, only to
rebound and post strong gains in subsequent months in line with overall
economic growth. Similarly, the Momentum Index posted healthy gains from
late-2016 through early 2017. Economic growth remains solid, and
building market fundamentals are supportive of further growth in
construction activity.
In September, 10 projects entered planning
each with a value of $100 million or more. For the commercial building
sector, the leading projects were a $200 million office complex in San
Jose CA and a $200 million mall in Staten Island NY. The leading
institutional projects were a $400 million civic complex in Los Angeles
CA and a $100 million casino in Tulalip WA.
###
About Dodge Data & Analytics
: Dodge Data & Analytics is North America’s
leading provider of analytics and software-based workflow integration
solutions for the construction industry. Building product manufacturers,
architects, engineers, contractors, and service providers leverage
Dodge to identify and pursue unseen growth opportunities and execute on
those opportunities for enhanced business performance. Whether it’s on a
local, regional or national level, Dodge makes the hidden obvious,
empowering its clients to better understand their markets, uncover key
relationships, size growth opportunities, and pursue those opportunities
with success. The company’s construction project information is the
most comprehensive and verified in the industry. Dodge is leveraging its
100-year-old legacy of continuous innovation to help the industry meet
the building challenges of the future. To learn more, visit
www.construction.com