SoFla commercial construction starts rise in August, but resi drops

Despite the plunge in resi construction, overall resi spending continues to outpace commercial this year

Sep.September 27, 2018 05:30 PM

(Credit: iStock)

South Florida construction starts fell slightly in August on a year-over-year basis.

Total building activity declined 7 percent to $703 million, according to Dodge Data & Analytics. Residential construction starts plunged 20 percent to $327.8 million, while commercial construction increased 10 percent to 375.2 million in August, compared to August 2017.

On a year-to-date basis, construction starts rose 11 percent to $8.64 billion, due to a continuous boost in residential starts. Non-residential new construction contracts fell 3 percent to $3.8 billion, while residential starts jumped 25 percent to nearly $4.8 billion, up from $3.8 billion during the same period last year. In July, commercial construction fell 5 percent to $3.4 billion, while residential starts jumped 32 percent to nearly $4.5 billion.

Commercial construction includes office, retail, hotels, warehouses, manufacturing, educational, healthcare, religious, government, recreational, and other buildings, while residential includes single-family and multifamily housing, according to the report.

Construction costs are expected to continue rising across the U.S., thanks in part to President Trump’s plan to tax overseas metals. Developers have already expressed concern over the cost of materials and the construction labor shortage that is plaguing the country.

Related Articles

William Dabbs

Contractor guilty of manslaughter in fatal shooting of his boss

Rendering of Missoni Baia with a concrete truck and Vlad Doronin (Credit: Getty Images and iStock)

5,800-ton concrete pour set for Missoni Baia condo tower

2965 West Corporate Lakes Boulevard and Black Creek Group CEO Raj Dhanda (Credit: Google Maps, Blue Vault)

TIAA sells Weston warehouse for $33M

From left: Andrea and Renzo Rosso

Diesel family dishes on Wynwood condo project

One Ocean

Allegations of shoddy construction pile up at Related’s One Ocean

Miami beach (Credit: iStock)

Hurricane Dorian spared South Florida but will still cost developers and contractors

A satellite image of Hurricane Dorian (Credit: Getty Images, iStock)

As Hurricane Dorian barrels toward South Florida, developers and builders prepare

State report finds open gas valve fueled building explosion at Plantation shopping center

State report finds open gas valve fueled building explosion at Plantation shopping center