Dodge Data & Analytics, New York, has reported construction starts rose 20% in December 2023 after falling 15% in November 2023.
Nonresidential building construction jumped 37% in December 2023 as manufacturing starts grew 75%. Commercial starts rose 48%, and institutional starts climbed 22%.
Residential building construction rose 8% in December 2023. Single-family housing advanced 1%, and multifamily starts rose 22%.
Nonbuilding construction increased 13% in December 2023.
In 2023, total construction starts were down 4% compared with 2022. Nonresidential building fell 8%; nonbuilding construction grew 16%; and residential building dropped 13%.
“Construction starts ended the year on a positive note,” said Richard Branch, chief economist for Dodge Construction Network. “Looking ahead, the new year provides promise that positive momentum will continue to build. The planning queue is stabilizing, and the promise of lower rates should spur construction onward. While hurdles remain, including scarce labor and tight credit, 2024 should be a more positive year for the construction sector.”
