{"id":34013,"date":"2026-01-23T13:33:36","date_gmt":"2026-01-23T21:33:36","guid":{"rendered":"https:\/\/essential.construction\/news\/construction-starts-grow-3-in-december\/"},"modified":"2026-01-23T13:33:36","modified_gmt":"2026-01-23T21:33:36","slug":"construction-starts-grow-3-in-december","status":"publish","type":"post","link":"https:\/\/essential.construction\/news\/construction-starts-grow-3-in-december\/","title":{"rendered":"Construction Starts Grow 3% in December"},"content":{"rendered":"<p> <a href=\"https:\/\/essential.construction\/files\/membership-default-internal\/\" class=\"memberhide\"><img decoding=\"async\" src=\"https:\/\/essential.construction\/news\/wp-content\/uploads\/sites\/15\/2023\/01\/20220718_175041000_iOS.jpg\" alt=\"-\"><\/a><br\/><br \/>\n<\/p>\n<div itemprop=\"text\">\n<div align=\"center\">\n<p><iframe loading=\"lazy\" title=\"Dodge Starts \u2013 December 2025\" width=\"1200\" height=\"675\" src=\"https:\/\/www.youtube.com\/embed\/hwBVr1e9tiQ?feature=oembed\" frameborder=\"0\" allow=\"accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture; web-share\" referrerpolicy=\"strict-origin-when-cross-origin\" allowfullscreen><\/iframe><\/p>\n<p style=\"text-align: left;\"><em><strong><span class=\"NormalTextRun SCXW255732540 BCX0\">Nonbuilding &amp; data center starts\u00a0<\/span><span class=\"NormalTextRun SCXW255732540 BCX0\">drove 2025 growth.<\/span><\/strong><\/em><\/p>\n<\/div>\n<p>\u00a0<\/p>\n<p><b><span data-contrast=\"auto\">BOSTON,\u00a0MA\u00a0\u2014\u00a0January\u00a023, 2026\u00a0\u2014<\/span><\/b><span data-contrast=\"auto\">\u00a0<\/span><span data-contrast=\"auto\">Total construction starts\u00a0expanded\u00a02.6% in\u00a0December\u00a0to a seasonally adjusted\u00a0annual rate of\u00a0$1.24\u00a0trillion,\u00a0according to\u00a0<\/span><a rel=\"nofollow noopener\" href=\"http:\/\/construction.com\/\" target=\"_blank\"><span data-contrast=\"none\">Dodge Construction\u00a0Network<\/span><\/a><span data-contrast=\"auto\">. Nonresidential building starts fell by 6.6%, residential starts increased 1.0%, and nonbuilding starts grew 16.3% over the month. For the full year, total construction starts expanded 5.4%. Nonresidential starts were up 4.5%, residential starts were down 4.8% and nonbuilding starts were 18.7% higher when compared to 2024. <\/span><span data-ccp-props=\"{&quot;134245417&quot;:false,&quot;201341983&quot;:0,&quot;335559739&quot;:0,&quot;335559740&quot;:276}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">\u201cNonbuilding\u00a0construction, alongside data centers,\u00a0was\u00a0the primary engine of growth\u00a0in 2025, supporting a 5.4% expansion\u00a0in the\u00a0total\u00a0dollar-value\u00a0of\u00a0starts,\u201d\u00a0stated\u00a0Sarah Martin, Associate Director of Forecasting at Dodge Construction Network. \u201cIn square footage terms, however, building starts declined 4.7% alongside weaker residential, manufacturing, and institutional\u00a0activity.\u201d\u00a0<\/span><span data-ccp-props=\"{&quot;134245417&quot;:false,&quot;201341983&quot;:0,&quot;335559739&quot;:0,&quot;335559740&quot;:276}\">\u00a0<\/span><\/p>\n<p><b><span data-contrast=\"auto\">Residential<\/span><\/b><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559740&quot;:276}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">Residential building starts rose by 1.0% in December to a seasonally adjusted annual rate of $370 billion. Single family starts decreased 4.5% m\/m, while multifamily starts gained 10.2% m\/m. In 2025, residential starts decreased 4.8% \u2013 with single family starts down 13.2% and multifamily starts up 13.1%. <\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559740&quot;:276}\">\u00a0<\/span><\/p>\n<p><b><span data-contrast=\"auto\">The largest multifamily structures to break ground in\u00a0December\u00a0<\/span><\/b><span data-contrast=\"auto\">were the\u00a0$502 million Launiu Ward Village Condominiums in Honolulu, Hawaii, the $500 million The Alloy Block Residential Tower (Phase 2) in Boerum Hill, New York and the $272 million SDSU Mission Valley Residential Building in San Diego, California.\u00a0<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559740&quot;:276}\">\u00a0<\/span><\/p>\n<p><b><span data-contrast=\"auto\">Nonresidential<\/span><\/b><span data-ccp-props=\"{&quot;134245417&quot;:false,&quot;201341983&quot;:0,&quot;335559739&quot;:0,&quot;335559740&quot;:276}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">Nonresidential building starts\u00a0decreased\u00a06.6%\u00a0in\u00a0December\u00a0to\u00a0a seasonally adjusted annual rate of\u00a0$450\u00a0billion. Commercial starts were\u00a0up\u00a09.8%,\u00a0alongside\u00a0growth in offices and data centers (+7.4% m\/m),\u00a0parking garages (+38.8% m\/m), hotels (+74.4% m\/m) and warehouses (+0.7% m\/m). Meanwhile, retail\u00a0starts\u00a0(-12.2% m\/m) posted a decline between November and December. Institutional starts\u00a0declined\u00a016.3%, driven by weaker education (-18.2% m\/m) and miscellaneous institutional (-26.9% m\/m) starts. This decline was partially offset by 7.9% m\/m growth in healthcare facility starts. Manufacturing, meanwhile, pulled back 30.8% in December. In 2025, nonresidential starts\u00a0improved\u00a04.5%. Commercial and industrial starts expanded 10.9% and\u00a0institutional starts receded 1.9% when compared to 2024.\u00a0<\/span><span data-ccp-props=\"{&quot;134245417&quot;:false,&quot;201341983&quot;:0,&quot;335559739&quot;:0,&quot;335559740&quot;:276}\">\u00a0<\/span><\/p>\n<p><b><span data-contrast=\"auto\">The largest nonresidential building projects to break ground in\u00a0December\u00a0<\/span><\/b><span data-contrast=\"auto\">were the\u00a0$1 billion\u00a0Google Data Center (Phase 1) in West Memphis, Arkansas, the $750 million CyrusOne Data Center in Whitney, Texas and the $714 million SNA Data Center (Phase 2) in Cedar Rapids, Iowa.\u00a0<\/span><span data-ccp-props=\"{&quot;134245417&quot;:false,&quot;201341983&quot;:0,&quot;335559739&quot;:0,&quot;335559740&quot;:240}\">\u00a0<\/span><\/p>\n<p><b><span data-contrast=\"auto\">Nonbuilding<\/span><\/b><\/p>\n<p><span\/><span data-contrast=\"auto\">Nonbuilding construction starts grew 16.3% in December to a seasonally adjusted annual rate of $422 billion. Highways and bridges (+85.2% m\/m) and miscellaneous nonbuilding (+35.9% m\/m) supported growth, while environmental public works (-26.9% m\/m) and electric power\/utilities (-9.0% m\/m) faced declines. <\/span><span data-ccp-props=\"{&quot;134245417&quot;:false,&quot;201341983&quot;:0,&quot;335559739&quot;:0,&quot;335559740&quot;:276}\">\u00a0<\/span><\/p>\n<p><b><span data-contrast=\"auto\">The largest nonbuilding projects to break ground in\u00a0December<\/span><\/b><span data-contrast=\"auto\"> included the $3.5 billion Port Authority Midtown Bus Terminal (Phase 1) in New York, New York, the $1.6 billion Entergy Legend Power Station (754 MW) in Port Arthur, Texas and the $1.5 billion LAX Airport Roadway Improvements project in Los Angeles, California.\u00a0<\/span><span data-ccp-props=\"{&quot;134245417&quot;:false,&quot;201341983&quot;:0,&quot;335559739&quot;:0,&quot;335559740&quot;:276}\">\u00a0<\/span><\/p>\n<p><b><span data-contrast=\"none\">Regionally,<\/span><\/b><span data-contrast=\"none\"> total construction starts in December rose in the Northeast (+12.1% m\/m), the South Central (+15.6% m\/m), and the West (+6.9% m\/m). Meanwhile, starts slowed down in the South Atlantic (-2.9% m\/m) and the Midwest (-19.0% m\/m)<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559740&quot;:276}\">\u00a0<\/span><\/p>\n<p><img fetchpriority=\"high\" decoding=\"async\" class=\"alignnone wp-image-27040\" src=\"https:\/\/www.construction.com\/wp-content\/uploads\/2026\/01\/startsjan26-monthly-300x156.png\" alt=\"Startsjan26 Monthly\" width=\"715\" height=\"372\" srcset=\"https:\/\/www.construction.com\/wp-content\/uploads\/2026\/01\/startsjan26-monthly-300x156.png 300w, https:\/\/www.construction.com\/wp-content\/uploads\/2026\/01\/startsjan26-monthly-1024x533.png 1024w, https:\/\/www.construction.com\/wp-content\/uploads\/2026\/01\/startsjan26-monthly.png 1707w\" sizes=\"(max-width: 715px) 100vw, 715px\"\/><\/p>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"alignnone wp-image-27041\" src=\"https:\/\/www.construction.com\/wp-content\/uploads\/2026\/01\/starts-jan26-YTD-300x156.jpg\" alt=\"Starts Jan26 YTD\" width=\"685\" height=\"356\" srcset=\"https:\/\/www.construction.com\/wp-content\/uploads\/2026\/01\/starts-jan26-YTD-300x156.jpg 300w, https:\/\/www.construction.com\/wp-content\/uploads\/2026\/01\/starts-jan26-YTD.jpg 800w\" sizes=\"auto, (max-width: 685px) 100vw, 685px\"\/><\/p>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"alignnone wp-image-27038\" src=\"https:\/\/www.construction.com\/wp-content\/uploads\/2026\/01\/starts-jan26-bar-chart-300x156.png\" alt=\"Starts Jan26 Bar Chart\" width=\"698\" height=\"363\" srcset=\"https:\/\/www.construction.com\/wp-content\/uploads\/2026\/01\/starts-jan26-bar-chart-300x156.png 300w, https:\/\/www.construction.com\/wp-content\/uploads\/2026\/01\/starts-jan26-bar-chart-1024x533.png 1024w, https:\/\/www.construction.com\/wp-content\/uploads\/2026\/01\/starts-jan26-bar-chart.png 1707w\" sizes=\"auto, (max-width: 698px) 100vw, 698px\"\/><\/p>\n<\/div>\n<div>\n<div class=\"wpb_wrapper\">\n<p>###<\/p>\n<p><strong>About Dodge Construction Network<\/strong><br \/><span data-teams=\"true\"><span class=\"ui-provider a b c d e f g h i j k l m n o p q r s t u v w x y z ab ac ae af ag ah ai aj ak\" dir=\"ltr\">Dodge Construction Network harnesses data, analytics, and industry connections to be the leading source of insights and opportunities in the commercial construction industry. 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