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Construction stress rose to start 2026 after a year of steady easing, according to the latest data from Cincinatti-based ConstructConnect.
The Project stress indexa measure of construction projects that have been stopped, abandoned or have a delayed bid date, rose 0.5% month-on-month to start 2026. This was largely due to month-on-month increases in projects on hold and bid date delays, the data showed. Both categories rose 16.9% and 13.3%, respectively, in January.
On a positive note, abandoned projects declined 19.6% in January, largely offsetting those jumps.
While the index is about 2.5% above its 2021 baseline, it’s in much better shape than it was at this time a year ago, Devin Bell, associate economist at ConstructConnect, told Construction Dive.
“The PSI remains 11.6% below year-ago levels,” Bell said. “In this period, all three stress indicators have also decreased.”
Dropouts saw the most significant improvement in the past 12 months, falling 20.7%, according to the data. Delays in offer dates and suspensions also decreased by 8.3% and 3.9%, respectively, year over year.
The relief extended to both private and public construction sites, Bell noted.
Abandons of both private and public projects, for example, fell 20.4 percent and 41.1 percent over the past year, Bell said. Meanwhile, stalled projects for private and public works fell over the past 12 months by 6.3% and 2.7%, it added.
“Recent rate cuts could help keep stress conditions low in 2026 as companies can access loans on more favorable terms,” Bell said.
