After a promising September, mounting economic pressures dimmed construction planning activity in October, according to Dodge Construction Network.
The Dodge Momentum Index, a measure of nonresidential construction projects entering the planning stages, fell 9% month over month in October, according to a Nov. 6 news release. Commercial and institutional planning dropped 13.4% and 1.5% respectively, according to the report.
“Institutional planning edged lower but remained resilient, supporting the Index in October,” said Sarah Martin, director of economic research at Dodge Construction Network. “The commercial sector accounted for the large decline, driven by weaker data center and warehouse planning.”
Within the commercial segment, planning slowed for office building and hotel construction as well. Only retail planning posted gains in October, according to the report.
On the institutional side, weaker education and religious building planning pulled the index lower over the month. However, on a positive note, planning for healthcare projects improved month over month in October, according to the report.
Year over year, planning for institutional construction projects, which includes healthcare and education, increased 33.4% through October, according to Dodge. By comparison, commercial planning tumbled 17.6% during the same span, largely due to a data center planning surge in late 2025. The overall planning index is down 2.4% since October 2025, according to the report.
A total of 23 projects valued at $100 million or more entered planning in October, according to Dodge. The largest commercial projects included:
- The $451 million Orchard Hills data center campus in Cheyenne, Wyoming.
- The $368 million Centra Technology data center in Des Moines, Iowa.
- The $366 million Project Longhorn data center in Cedar Creek, Texas.
The largest institutional projects to enter planning included:
- The $336 million Green Valley medical campus in Fairfield, California.
- The $257 million Atrium Health Acute Care building in Cornelius, North Carolina.
- A $200 million life science laboratory in San Diego.