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Construction planning kicked off some momentum in April, though most of that jump stemmed from the data center construction boom.
The Dodge Momentum Index, a measure that tracks nonresidential construction projects entering the planning stages, rose. 6.2% month on month in Aprilaccording to Dodge Construction Network. The positive report follows a slow start to the year around construction planning, especially for projects outside of the data center construction frenzy.
“After a three-month slowdown, nonresidential planning began to find its footing in April,” said Sarah Martin, director of economic research at the Dodge Construction Network. “Data centers remain the main driver of growth in the Dodge Momentum Index, but several other sectors appear to have stabilized over the course of the month.”
Commercial planning rose 8.1% month-on-month in April, in addition to a 1.5% increase in institutional planning. According to Dodge, traditional office buildings, warehouses, hotels and parking lots posted growth during the month. Retail construction plans, however, lost steam, the report said.
In particular, the pipeline for data center construction got the best results again. Commercial planning was up 37.2% year-over-year, but excluding data center work, that increase was 5.8%.
Jacobs CEO Bob Pragada recently said that the data center construction boom is “still in the early stages,“, according to comments during the company’s fiscal second quarter earnings call. The company’s data center business grew more than 100% over the past year, largely due to investments in hyperscale.
However, macroeconomic pressures still generate some skepticism about the overall outlook for construction activity, Martin said. Problems such as “labor shortages, higher material costs and supply chain disruptions” still weigh on confidence, he said.
However, the index is 14.1% higher than in April 2025, according to Dodge. A total of 44 projects valued at $100 million or more entered planning in April, according to Dodge.
Major commercial projects include:
- Google’s $500 million Building One data center in Buffalo, West Virginia.
- The $470 million Freebird Phase 2 Stargate data center in Burlington, Texas.
- The $450 million Jay data center in Jay, Maine.
The largest institutional projects to enter planning included:
- The $256 million Navy SEAL Museum in San Diego.
- The $178 million Lurie Children’s Hospital in Downers Grove, Illinois.
- The $175 million unaccompanied housing upgrade at Coronado Naval Base in California.
