Construction spending slides in November

Construction spending slid in November.

Fewer property management companies may have spent funds on construction spending in November, as the national level experienced a slight decline compared to the month prior.

There was a total rate of $866 billion spent on construction in November, which was 0.3 percent lower than October's level, according to a report from the Department of Commerce. The previous month had a total rate of $868.2 billion. Despite the declines, this was still 7.7 percent higher than in November 2011.

The total year-to-date figure was $781.4 billion, which was more than 9 percent higher than the same 11-month period last year, when the figure was $715.4 billion, the report said. Private construction spending also was down, as the figure fell 0.2 percent month-over-month for a rate of nearly $590 billion.

The report added that nonresidential construction also experienced a decline. The figure for November was less than $295 billion and October's level was nearly $297 billion.

Despite the declines, the commercial market may be on the verge of improvement.

"We are seeing a slightly positive outlook for commercial activities," said Dave Myers, president of building efficiency at Johnson Controls, according to Bloomberg. "It's been the first time in a long time we’ll see slight increases in the year and we are seeing, for the first time in a long time, some positive signs about growth in the residential market [as] well."

Share
Disclaimer: All data and information provided on this site is for informational purposes only. Zoliath.com makes no representations as to accuracy, completeness, correctness, suitability, or validity of any information on this site and will not be liable for any errors, omissions, opinions or delays in this information or any losses, injuries, or damages arising from its display or use. All information is provided on an as-is basis.