Dodge Reports June Construction Monthly Declines Across Many Market Segments
Total construction starts declined -19.9% in June to a seasonally adjusted annual rate of $1.42 trillion, according to Dodge Construction Network. Nonresidential building starts fell back -9.1%; nonbuilding starts decreased -37.7%; and residential starts decreased +2.2% over the month.
On a year-to-date basis, total construction starts were up +11.1% through June. Nonresidential starts were up +6.2%; nonbuilding starts improved by +33.8%; and residential starts were down -3.5% over the same period. For the 12 months ending June 2026, total construction starts were up +10.6% from the 12 months ending June 2025. Residential starts were down -3.6%; nonresidential starts were up +4.9%; and nonbuilding starts were up +34.3%.
“After strong megaproject activity in May, construction starts came back down to earth throughout the month of June,” said Sarah Martin, director of Economic Research at Dodge Construction Network, in the press release. “Residential and institutional construction remain weak, while commercial, industrial and nonbuilding construction continue to show strong year-to-date growth.”
Nonresidential
Nonresidential building starts receded -9.1% in June to a seasonally adjusted annual rate of $584 billion. Commercial starts were up +1.2% over the month, driven by a -29.5% m/m (month-to-month) increase in parking garages, alongside growth in warehouses (+15% m/m) hotels (+8.1% m/m) and retail stores (+3.2% m/m). Offices and data centers, meanwhile, pulled back -3.7% m/m. Institutional starts improved +2.5% over the month, supported by an +8% m/m uptick in education and dormitory starts, as well as a +32.9% m/m gain in other institutional starts.
Healthcare facilities fell back -29.9% in June. Manufacturing construction starts declined -62.9% m/m, normalizing after a surge in activity in May. On a year-to-date basis through June, nonresidential starts are up +6.2%. Commercial and industrial construction gained 17.9%, while institutional starts are down -7.3% over the same period.
For the 12 months ending June 2026, total nonresidential starts were up +4.9% compared to the 12 months ending June 2025. Commercial starts were up +28%, institutional starts decreased 6.8%, and manufacturing starts were down -22.6% over the same period.
The largest nonresidential building projects to break ground in June were the $3.6- billion Delta Forge 1 Hyperscale Data Center Campus in Boyce, LA; the $2.1-billion Sentinel Midstream Deepwater Port in Freeport, TX; and the $2-billion AWS Data Center (Phase 2) in Canton, MS.
Residential
Residential building starts fell by -2.2% in June to a seasonally adjusted annual rate of $363 billion. Single family starts fell -3.4% m/m, and multi-family starts fell -0.4% m/m. On a year-to-date basis, residential starts are down -3.5%, with single-family starts down -7.5% and multi-family starts up +3.7%.
For the 12 months ending June 2026, total residential starts fell -3.6%. Single-family starts fell -11.8% compared to the 12 months ending June 2025, and multi-family starts increased +11.8% over the same period.
The largest multi-family structures to break ground in June were the $480-million 1740 Broadway residential conversion in New York, NY; the $251-million River Commons Residential and Community Facility in Concourse, NY; and the $191-million 40 Exchange Place residential conversion in New York, NY.
Nonbuilding
Nonbuilding construction starts fell back -37.7% in June to a seasonally adjusted annual rate of $473 billion. After triple-digit gains last month, highway and bridge starts fell back -46.6% in June and utilities declined -70.3%. Meanwhile, environmental public works improved +26.3% m/m and miscellaneous nonbuilding surged +168.3% over the same period.
On a year-to-date basis through June, nonbuilding construction was up +33.8% alongside the +119.6% year-to-date growth in electric power/utilities, +17% in miscellaneous nonbuilding, and +10.8% growth in highways and bridges. Environmental public works are down -5.5% year-to-date. For the 12 months ending June 2026, total nonbuilding starts were up +34.3%. Environmental public works fell by -4.8% compared to the 12 months ending June 2025. Highway and bridge starts were up +7.8%, miscellaneous nonbuilding starts were up +36.2% and utility/gas starts increased +122.2% over the same period.
The largest nonbuilding projects to break ground in June included the $3.6-billion CTA Red Line Extension Project in Chicago, IL; the $2.4-billion Cleveland Browns Huntington Bank Field Stadium in Brook Park, OH; and the $2.1-billion Amtrak Sawtooth Bridge Replacement in Kearny, NJ.
