Both components of the Momentum Index lost steam in February – the institutional component moved 5.9% lower, while the commercial component dropped 3.4%.
Since November, the Momentum Index has re-established a sawtooth pattern that’s often been present in recent years. It’s also become clear that the average level of activity has downshifted slightly since the summer of 2018.
From April through August last year, the average level of the Momentum Index was 158.6, while from September through the latest month the average is 150.3 – a decline of 5.2%. This shift continues to suggest that the growth in construction activity will moderate over the coming year.
The leading commercial building projects were the $200 million Keurig/Dr. Pepper office project in Frisco TX and a $200 million mixed-use development in San Jose CA.
The leading institutional building projects were the $300 million VCU Health Children’s Hospital in Richmond VA and the $187 million Wolfson Children’s Critical Care Tower in Jacksonville FL.