Construction Spending in U.S. Increases to 8-Year High
During the first three months of this year, construction spending amounted to $240.4 billion, 9.1% percent above the $220.3 billion for the same period in 2015.
Private residential construction increased 1.6% in March. Within residential, multifamily building surged 5.6%, and single-family remained unchanged.
WASHINGTON – U.S. construction spending rose to a more than an 8-year high in March, according to data released this week by the Commerce Department. The positive outlook included an upward revision to February’s expenditures, indicating sustained growth throughout much of the sector.
The latest monthly data shows that construction spending increased 0.3% to the highest level since October 2007, following an upwardly revised 1% uptick in February. However, construction spending for January was revised down to show a 0.3% drop instead of the previously reported 2.1% increase.
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During the first three months of this year, construction spending amounted to $240.4 billion, 9.1% above the $220.3 billion for the same period in 2015. All told, the Commerce Department noted construction spending rose 8% year-over-year.
In March, spending on private construction was at a seasonally adjusted annual rate of $842.3 billion, 1.1% above the revised February estimate of $832.8 billion. Residential construction was at a seasonally adjusted annual rate of $435.5 billion, 1.6% above the revised February estimate of $428.8 billion. Nonresidential construction was at a seasonally adjusted annual rate of $406.8 billion, 0.7% above the revised February estimate of $404 billion.
The report indicated spending on public construction fell by 1.9% in March to a rate of $295.2 billion. Spending on federal construction fell 7.4% to a rate of $21.3 billion, while spending on state and local construction slid 1.4% to a rate of $273.9 billion.
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About the Author
Rodney Bosch, Senior Editor
Although Bosch’s name is quite familiar to those in the security industry, his previous experience has been in daily newspaper journalism. Prior to joining SECURITY SALES & INTEGRATION in 2006, he spent 15 years with the Los Angeles Times, where he performed a wide assortment of editorial responsibilities, including feature and metro department assignments as well as content producing for latimes.com. Bosch is a graduate of California State University, Fresno with a degree in Mass Communication & Journalism. In 2007, he successfully completed the National Burglar and Fire Alarm Association’s National Training School coursework to become a Certified Level I Alarm Technician.
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