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The Dodge Momentum Index rose 0.6 percent from its revised reading in March to 116.5 in April.
The index is a monthly measure of the first or initial report for non-residential projects in planning, which have been shown to lead construction spending for non-residential buildings by one year. April’s gain was due to increased planning activity for both commercial and institutional building. Commercial planning moved 0.8 percent higher and institutional rose 0.4 per cent.
Over eight months, institutional planning has been up and down, at first making gains through early 2016 then falling 16 percent in March to 115.8. With April’s slight gain, it is seven percent above its level a year ago. This suggests that, despite month-to-month volatility, the sector is in recovery.
In April, six projects entered planning with a value exceeding $100 million. In the commercial sector, the leading projects included a $225-million hotel in Anaheim, California and a $200-million warehouse in Jacksonville, Florida. In the institutional sector, the leading projects included a $500-million expansion to a Los Angeles county museum of art and a $163-million outpatient health center in Tahlequah, Oklahoma.
