National nonresidential construction spending was up by 0.5% in September, according to an Associated Builders and Contractors analysis of data published today by the U.S. Census Bureau. On a seasonally adjusted annualized basis, nonresidential spending totaled $883.9 billion for the month.
Spending was down on a monthly basis in 11 of the 16 nonresidential subcategories. Private nonresidential spending was up 1.0%, while public nonresidential construction spending was down 0.3% in September.
“The disconnect between contractor confidence, which remains elevated according to ABC’s Construction Confidence Index, and nonresidential construction spending continues,” said ABC Chief Economist Anirban Basu. “While nonresidential construction spending is below February 2020 levels, many contractors report operating at capacity. This has much to do with worker and equipment shortages.
“Many projects under construction in America began prior to the rapid increase in borrowing costs that started earlier this year,” said Basu. “With interest rates on the rise and the economy expected to slow, nonresidential spending will likely decline further, at least in segments vulnerable to economic downturns. Contractors that focus on public construction work stand to be in far better shape given recent federal legislation and excess pandemic relief funds waiting to be spent by many state and local governments.”
Related Stories
Sponsored | Building Team | Nov 2, 2015
Recruiting for cultural fit
Hiring for culture fit doesn’t mean hiring people who are all the same
Building Team | Oct 28, 2015
Steven R. Zirkel named president of Metl-Span
Metl-Span announced that Steven R. Zirkel has joined the company as the new president. Metl-Span is an industry leader in providing insulated metal panel products for increasing usage in institutional, commercial, industrial and cold storage markets.
BIM and Information Technology | Sep 14, 2015
Is Apple's new iPad Pro a game changer for architects?
A stylus, split screen, and improved graphics make designing on the tablet easier.
Sponsored | Building Team | Aug 25, 2015
9 characteristics that distinguish leading A/E firms
By analyzing the “benchmark firms” selected from its annual surveys, PSMJ has identified several characteristics that distinguish top performers
Office Buildings | Aug 24, 2015
British company OpenDesk offers open-sourced office furniture
Offices can “download” their furniture to be made locally, anywhere.
Sponsored | BIM and Information Technology | Aug 20, 2015
Part II - Will BIM Work as a Deliverable? A Legal Perspective on BIM
Having the right counsel on your team can be the difference between long drawn-out negotiations and breaking new ground to meet the owner’s needs.
Sponsored | Building Team | Aug 20, 2015
Understanding the values and aspirations of millennials
A recent LinkedIn workplace survey revealed that millennials (defined as individuals aged 18–24) are quite different from boomers (those aged 55–65)
BIM and Information Technology | Aug 17, 2015
Reimagined cursors can change digital imaging
A University of Montreal professor has developed a system that elevates 2D cursors for a 3D world.
Building Team | Aug 17, 2015
One female contractor gets vocal about urging women to consider construction as a career
Doreen DiPolito of Florida’s D-Mar General Contracting thinks opportunities abound in an industry struggling with worker shortages.
Sponsored | Building Team | Aug 11, 2015
How to improve project planning
A recent research project revealed that more than 75 percent of project owners have no consistent method for assessing project risks and setting budget contingencies.
