U.S. construction spending hits 10-year low

New York /
Sep.September 01, 2010 06:00 PM

Construction spending fell nationwide for the third month in a row in July 2010, this time to its lowest level in 10 years, according to a report released today by the U.S. Department of Commerce. July’s $805 billion annual spending rate was 1 percent below June’s $813.1 billion rate and 10.7 percent below the $901.2 billion level recorded in July 2009. The private residential construction sector, which has been battered by gloomy reports since the expiration of the federal homebuyer tax credit in June, saw a 2.6 percent decline in spending — to an annual rate of $240.3 billion — since June but a 5.5 percent increase over July 2009. Meanwhile, spending in the hotel sector, in which construction has come to a near-standstill, declined by another 1.7 percent month-over-month to $11.6 billion annually, which also represents a more than 53 percent year-over-year drop. And public construction projects aren’t rushing to the construction industry’s rescue: spending on public projects dropped to $298.8 billion yearly in July, down 1.2 percent from June and 7.9 percent from last year. As of the end of July, the 2010 tally of construction spending of any kind was $460 billion. By July 2009, U.S. builders had spent $522 billion for the year on construction projects. TRD

 

Related Articles

arrow_forward_ios
Boxed out: Supply chain, energy crises rock real estate
Boxed out: Supply chain, energy crises rock real estate
Boxed out: Supply chain, energy crises rock real estate
Warehousing, construction notch November job gains
Warehousing, construction notch November job gains
Warehousing, construction notch November job gains
Virtual real estate speculators notch another record deal
Virtual real estate speculators notch another record deal
Virtual real estate speculators notch another record deal
Slate Property Group principal Martin Nussbaum and 210 Clarkson Avenue (Slate, RIPCO)
K2 Real Estate nabs $68M to kick off Prospect-Lefferts Gardens resi project
K2 Real Estate nabs $68M to kick off Prospect-Lefferts Gardens resi project
Small developments dominate as new building filings return to pre-pandemic levels
Small developments dominate as new building filings return to pre-pandemic levels
Small developments dominate as new building filings return to pre-pandemic levels
(iStock)
Manufactured home construction projected to hit 15-year high
Manufactured home construction projected to hit 15-year high
(iStock)
Backlog blues: Permits rise, housing starts slow in October
Backlog blues: Permits rise, housing starts slow in October
Industrial real estate saw highest net absorption since 2008 and the highest quarterly asking rents on record. (iStock/Illustration by Kevin Rebong for The Real Deal)
A record-shattering quarter for industrial real estate
A record-shattering quarter for industrial real estate
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...