Dodge Data & Analytics, New York, has reported construction starts rose 10% in July after falling 19% in June.
Nonresidential building construction advanced 25% in July as manufacturing starts jumped 33%, commercial starts grew 30% and institutional starts climbed 18%.
Residential building construction fell 8% in July. Single-family housing dropped 13%, and multifamily starts climbed 3%.
Nonbuilding construction increased 19% in July.
For the 12 months ending July 2024, total construction starts were up 3% compared with the 12 months ending July 2023. Nonbuilding construction grew 5%; nonresidential building fell 1%; and residential building rose 7%.
“Construction starts showed great promise in July,” said Richard Branch, chief economist of Dodge Construction Network. “However, the short-term remains questionable due to high interest rates. The Federal Reserve is likely to cut interest rates in September, which will, over time, make market conditions more conducive to moving projects forward. In the meantime, construction starts will likely remain volatile over the next few months.”
