NYC metro area leads 2015 construction starts

A ranking of the top U.S. metropolitan areas by the dollar amount in construction starts for commercial and multifamily building shows the New York City metropolitan area led the nation in 2015 with a total of $34.9 billion of projects that reached groundbreaking, reports Dodge Data & Analytics. For the nation as a whole, commercial and multifamily building in 2015 was reported at $162.7 billion, up 8 percent from a year ago.

According to Dodge Data, the top five metropolitan areas in 2015 with their percentage change from 2014 were Miami down 8 percent at $6.3 billion; Dallas and Fort Worth, Texas, up 35 percent at $6 billion; Chicago up 14 percent at $5.9 billion; and Washington, D.C., down 4 percent at $5.9 billion.

The 66 percent increase reported in the New York City metropolitan area in 2015 was the result of a 95 percent hike for commercial building combined with a 52 percent increase in multifamily housing, reports Dodge Data.

At the national level, the 8 percent gain for the commercial and multifamily total in 2015 was the result of commercial building holding steady with its improved 2014 amount and an 18 percent increase in multifamily housing.

“The construction start statistics do show some deceleration for the commercial building sector at the national level during 2015, after the substantial gain witnessed during 2014,” says Robert Murray, chief economist for Dodge Data & Analytics. “The recovery for commercial building has so far been hesitant, with periods of increased activity often followed by a pause. On the plus side, factors such as generally rising employment and declining vacancy rates should encourage further growth for offices, hotels and warehouses, while store construction remains more problematic given the shifting retail landscape.”

The commercial and multifamily total is comprised of office buildings, stores, hotels, warehouses, garages, service stations and multifamily housing.

View the top 20 metropolitan areas for 2015 construction starts here.