Dodge Data & Analytics, New York, has reported construction starts dropped 25% in April. Total construction starts in April were down 8% compared with April 2019.
“The April starts data is definitely sobering, but also very much expected,” says Richard Branch, chief economist for Dodge Data & Analytics. “The near shuttering of the economy during April had a significant negative effect on the construction industry, leading to delays in both ongoing projects, as well as those about to break ground. Even though parts of the country are beginning to reopen, and some areas that had paused construction are now restarting, it will be a very long road back to normalcy for the construction industry. Continued fear of a resurgence in the virus will lead to a continued reduction in economic activity over the coming months, affecting construction projects across the country. The economic and construction recoveries will remain sluggish until a vaccine or viable treatment becomes available.”
Nonresidential building construction decreased 37% in April. Commercial construction starts fell 47% in April; manufacturing starts fell 56%; and institutional starts fell 26%.
Residential building construction fell 25% in April. Single-family housing dropped 21%, and multifamily construction fell 36%.
Nonbuilding construction decreased 5% in April.
For the 12 months ending in April, nonresidential building was down 3% compared with the 12 months ending April 2019. Residential building increased 2%, and nonbuilding construction rose 5%.
Date : Jan. 01, 0001