b'Total Construction Moves Higher in FebruaryTrumbull Energy Center combined-cycle natural gas plant in Warren, Ohio, the $540 million Merit SI Manufacturing starts surge; single family,Gulfstar solar farm in Wharton County, Texas, and offsetting losses elsewhere the $530 million Mockingbird Solar Center in Brookston, Texas. HAMILTON, NJ March 21, 2023Total construction starts rose 6% in February to a seasonal- Nonresidential building starts gained 9% in ly adjusted annual rate of $912.8 billion, accordingFebruary to a seasonally adjusted annual rate of to Dodge Construction Network. During the month,$368 billion. Driving the gain was a 218% gain residential and nonresidential building starts rosein manufacturing starts due to the start of a large 11% and 9% respectively, and nonbuilding starts EV battery plant in Ohio. Commercial starts declined by 5%.decreased 2% in February as office and parking structure starts fell, offsetting increases in retail, For the first two months of 2023, total constructionhotels and warehouse activity. Institutional starts starts were 17% below that of 2022. On a year-over- also fell during the month, following a decline in year basis, residential starts were down 31%, non-education and healthcare projects. residential starts were off 14%, while nonbuilding starts gained 6%. For the 12 months ending FebruaryFor the 12 months ending February 2023, total 2023, total construction starts were 9% higher thannonresidential building starts were 27% higher the 12 months ending February 2022. Nonresidentialthan the 12 months ending February 2022.and nonbuilding starts were 27% and 19% higherManufacturing starts were 91% higher, and both respectively, while residential starts lost 9%.institutional and commercial starts gained 18% on a 12-month rolling sum basis. February construction starts were a mixed bag that led to marginal growth, said Richard Branch, chiefThe largest nonresidential building projects to economist for Dodge Construction Network. Singlebreak ground in February were the $3.5 billion family units posted a gain for the first time in 13Honda EV battery plant in Jeffersonville, Ohio, months, and manufacturing starts continued to bethe $1.4 billion expansion of Concourse D at very robust, showing signs of promise early intoHartsfield Jackson Airport in Atlanta, Georgia, 2023. However, the downturn in commercial and and the $500 million Apex-1 Sustainableinstitutional building starts could very well be theLithium-Ion battery plant in Hopkinsville, KY. beginning of an anticipated slow-down as the construction sector pulls back in the face of higherResidential building starts rose 11% in February interest rates and lagging economic growth. Whileto a seasonally adjusted annual rate of $320this ebbing should be comparatively mild, somebillion. Single family and multifamily starts rose construction verticals could face extreme stress as4% and 22% respectively. For the 12 months the year progresses.ending in February 2023, residential starts were 9% lower than the 12 months ending in February Nonbuilding construction starts fell 5% in 2022. Single family starts were 20% lower, while February to a seasonally adjusted annual rate ofmultifamily starts were up 18% on a rolling 12 $225 billion. This primarily results from a 30%month basis. decline in environmental public works starts and a 5% loss in highway and bridge starts. On theThe largest multifamily structures to break plus side, utility/gas plant starts rose 68% andground in February were a $350 million mixed-miscellaneous public works starts were up 6%.use building in New York, the $215 million Four Season condominium in Washington, DC, and For the 12 months ending February 2023, totalthe $140 million Palomar Heights mixed-use nonbuilding starts were 19% higher than the 12building in Escondido, California. months ending February 2022. Utility/gas plant starts rose 23%, and highway bridge startsRegionally, total construction starts in February increased 17%. Environmental public works androse in the Northeast, Midwest, and Southmiscellaneous nonbuilding starts were up 19%Central regions, but fell in the South Atlantic and and 18% respectively on a 12-month rolling sumWest. basis. (continued to page 13) The largest nonbuilding projects to breakground in February were the $1.2 billion11'