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Nonresidential construction planning fell for the second month in a row to begin 2026, according to the Dodge Construction Network.
The Dodge Momentum Index, a measure that tracks nonresidential construction projects entering the planning stages, fell 7.3% month on month in February The download follows a Decrease of 6.3%. in January, according to Dodge.
“Planning momentum continued to normalize in February following a surge in activity in the back half of 2025,” said Sarah Martin, associate director of forecasting at Dodge Construction Network. “Elevated risks around costs, labor and geopolitics will continue to constrain builder confidence in the near term, but the strong planning pipeline suggests an acceleration in construction spending in 2027.”
Healthy planning around data centers and healthcare facilities continued in February. Other types of projects, such as retail stores and warehouse construction, also saw strong demand, the report said.
But planning momentum slowed mostly on the commercial side, the data showed.
Commercial project planning was down 8.9% month-on-month, although it is still up 12.3% from February 2025. Much of this strength is due to data center planning.
Over the past year, business planning would have increased 4.4% without data center projects, according to Dodge. Institutional construction, such as education and public buildings, also fell month-on-month, down 4%. Industrial planning increased by 34% year-on-year, according to the report.
A total of 23 projects valued at $100 or more entered planning in February, according to the Dodge Construction Network. Major commercial projects include:
- A $580 million package for buildings 5 and 6 of the QTS DFW2 data center in Wilmer, Texas.
- The $500 million CyrusOne data center in Whitney, Texas.
- The $448 million TX12 data center in San Antonio, Texas.
The largest institutional projects to enter planning included:
- The Orange County Convention Center’s $400 million Grand Concourse expansion in Orlando, Florida.
- The $254 million school replacement project in Upper Marlboro, Maryland.
- The $250 million Langley F-22 Dormitory Building in Mclean, Virginia.
