Dodge Momentum Index Shows Gain in June
The Dodge Momentum Index increased less than one percent in June to 173.6, up from the revised May reading of 173.1, reaching a 14-year high.
The Momentum Index, issued by Dodge Construction Network, is a monthly measure of the initial report for nonresidential building projects in planning shown to lead construction spending for nonresidential buildings by a full year. In June, the commercial component of the Momentum Index rose 4.1 percent, while the institutional component decreased 6.2 percent.
Commercial planning in June was led by an increase in warehouse projects, while most other commercial buildings were flat. For institutional planning, a decrease in education projects in June dragged the sector lower, although healthcare increased. On a year-over-year basis, the Momentum Index was 9 percent higher than in June of last year. The commercial component was 11 percent higher, and the institutional component was 5 percent higher than last year.
A total of 27 projects with a value of $100 million or more entered planning in June. The leading commercial projects were the $400 million Somerset Nevele Resort in Ellenville, NY, and the $300 million first phase of the Ten85 warehouse building in Buckeye, AZ. The leading institutional projects were the $390 million 10 Twin Dolphin life science campus in Redwood City, CA, and the $280 million expansion of the Connecticut Childrens Patient Tower in Hartford, CT.