New Construction Starts Slide 8% in April

New construction starts fell 8% in April, month-over-month, to a seasonally-adjusted annual rate of $608.3 billion, according to Dodge Data & Analytics. Non-residential building fell 19% to 185.1 billion, after reporting a 26% month-over-month increase in March. Commercial building categories, as a group, dropped 18% in April, with hotel construction dropping 49% and retail decreasing by 17%.

On the residential side, the construction pace of multifamily housing declined 26% in April. Single-family housing, in the meantime, remained flat, as it has during the past several months.

Dodge Analytic analysts noted that construction starts dropped by 12% during the first four months of this year, due to “sizable declines for both nonresidential building and non-building construction, relative to their particularly heightened activity a year ago.” The analysts noted, however, both sectors should strengthen as the year continues.