According to Dodge Reports, nonresidential construction starts plunged 25%. According to the report, "Nonresidential building and nonbuilding starts fell 25% and 21% respectively in November from the previous month, while residential starts dropped 5%, according to the report."
Are you seeing these trends? There are some obvious trends that make sense such as office construction and retail due to covid and so on but others seem less obvious with the uncertainty in the economy driving a lot of the volatility.
According to their Industry Dive, "Branch maintains a slowdown is to be expected, especially as the Federal Reserve continues to hike up interest rates. Still, he added the damage should be isolated to a few verticals and not as widespread as what the industry experienced during the period of 2007-2009."
Some bright spots include a "Harbor-UCLA Medical Center near Torrance, one of five trauma centers in Los Angeles County, has begun a $1.6 billion upgrade."
You can read more about the trends here. 2023 should be an interesting year and we would love to hear what you see in your respective industries. Leave a comment below.
