The Dodge Momentum Index rebounded slightly in January to a reading of 157.7 after a step back in December. The index released by Dodge Data & Analytics measures the initial report of nonresidential building in planning and has been an indicator of nonresidential spending within a full year.
January's index increased 4.7% following December's decline of 4.9%. The commercial and institutional building components also rose last month by 4.6% and 5%, respectively. "January's reading is also consistent with the monthly average for the second half of 2018 … however, the commercial component remains below the highs set during the summer of 2018, while the institutional component has gained traction as public funding for projects such as schools and transportation terminals remains supportive," states a release from Dodge.
January saw nine projects valued at $100 million or more. On the commercial side, there were a pair of $300 million data centers that entered planning in Virginia. A $235 million arena renovation project in Arizona and a $140 million academic building at UNC-Chapel Hill led the institutional building projects. In December, there were only seven such projects, while there were 13 in November.
-Michael Miller, managing editor