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A pick-up in new developments last month helped keep construction momentum strong, but not necessarily consistent.
Total construction starts rose 3.1% in September at a seasonally adjusted annual rate of $1.26 trillion, according to the Dodge Construction Network. The increase is based on Growth of 1.7% in August.
But the broader acceleration in construction starts remains stagnant, said Eric Gaus, chief economist at the Dodge Construction Network.
“A 3% growth rate is just keeping up with inflation,” Gaus said in the statement. “We need fourth quarter growth of 25% to match annual growth in 2024.”
Nonresidential construction starts, which include commercial and institutional projects, rose 11.9% in September. Parking and gas station projects rose 30.1%, along with a 32.6% increase in office construction. Manufacturing activity varied sharply, up 45.2% in September after falling 24.4% the previous month, the report said.
Overall, non-residential construction rose 5% year-to-date through September. In the first nine months of the year, commercial starts grew 10.9%, although institutional starts, which include education and healthcare, fell 0.8%, according to Dodge.
For the 12 months ending in September 2025, total non-residential starts improved by 6.8%. The commercial and institutional categories also registered growth of 22.5% and 5% during this period. But manufacturing fell 23.6% in the same time period.
Here are the nine largest projects in the U.S. that will break ground in September, according to Dodge:
- The $3 billion Newark AirTrain replacement in Newark, New Jersey
- The $2.7 billion Hugh Brinson pipeline in Midland, Texas.
- The $2.5 billion Hut 8 data center in St. Francisville, Louisiana.
- The $1.7 billion NYS Life Sciences Public Health Laboratory in Albany, New York.
- Phase 1 of the $1.2 billion Llano data center in Claude, Texas.
- The $1.1 billion Walnut Creek WWTP renovation and expansion in Austin, Texas.
- The $584 million Harborside 8 mixed-use residential, commercial and parking project in Jersey City, New Jersey.
- The $575 million residential conversion of 5 Times Square in New York City.
- The $480 million Imperial Tower in Jersey City, New Jersey.
Non-building starts, such as highways, bridges and other infrastructure, fell 6.2% in September. This was largely due to a 62.5% decline in the construction of public services. Other industry categories improved in September, including a 7.4% increase in highway and bridge projects.
According to the report, during the last 12 months ending September 2025, total non-building starts increased by 16.7%.
Residential construction rose 3.6% in September. Both multi-family and single-family projects registered a growth of 6.4% and 1.7%, respectively. For the 12 months ending in September 2025, total residential construction starts fell 1.4%.
