Planning for Nonresidential Construction Dips in November

Dodge Data & Analytics reports a decline in project planning for new construction in the nonresidential sector. The latest Dodge Momentum Index fell 2.6 percent in November to 123.3  The institutional component of the index fell 4.4 percent, while the commercial component slid 1.6 percent.

“Since the expiration of support programs in the CARES Act, the economy has struggled to maintain traction and in its wake planning for nonresidential building projects has slowed,” said Dodge in its report. “As the next wave of COVID-19 infections quickly approaches, economic growth and job gains will ease further. Additionally, uncertainty over the potential for further federal stimulus has significantly complicated the recovery and will continue to negatively impact nonresidential building throughout the planning and construction processes.”