Construction + Economy

The Dodge Momentum Index increased 3.1% in January to 139.4 (2000=100) from the revised December reading of 135.2. 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. January’s increase marked the highest level in the Momentum Index since the COVID-19 pandemic began.

Total construction starts lost 5% in December, falling to a seasonally adjusted annual rate of $784.3 billion. Nonresidential building starts fell 11% during the month, while nonbuilding starts were 5% lower. Residential starts were essentially flat over the month. Starts were lower in three of the four regions in December; the South Central was the only region to post an increase.

While nonresidential construction activity contracted in 2020 and is projected for another decline in 2021, residential construction was strong last year. Led by a solid, double-digit gain in single-family starts, overall housing starts increased 5.8% to a seasonally adjusted annual rate of 1.67 million units, according to a recent report from the U.S. Department of Housing and Urban Development and the U.S. Census Bureau.

Slowing demand at architecture firms in 2020 is expected to contribute to a projected 5.7 percent decline in construction spending for 2021, according to a new consensus forecast from The American Institute of Architects (AIA).

Demand for design services from U.S. architecture firms took a pointed dip in December 2020, according to the American Institute of Architects (AIA).

Construction employment increased by 51,000 jobs in December, with gains for nonresidential as well as residential contractors, according to an analysis by the Associated General Contractors of America of government data. Association officials, however, cautioned that its latest survey shows widespread pessimism among contractors about the volume of work available in 2021.

The American Institute of Architects (AIA) recently issued a statement by Peter Exley, FAIA & Robert Ivy, FAIA condemning the violence at Capitol Hill on January 6. Their statement follows.

Architecture firm billing activity contracted once again in November 2020 after two months of a slowing decline, according to the American Institute of Architects (AIA).

While architectural billings failed to show much progress during October 2020, signs of improving business conditions at firms have emerged, according to the American Institute of Architects (AIA).