Commercial, multifamily construction starts in NYC lead the nation

By |  August 12, 2015
Click to enlarge. Source: Dodge Data & Analytics

Click to enlarge. Source: Dodge Data & Analytics

According to Dodge Data & Analytics, a ranking of the top U.S. metropolitan areas by the dollar amount of new commercial and multifamily construction starts shows the New York City metropolitan area leading the nation during the first half of 2015. A total of $17.3 billion in commercial and multifamily projects in the area reached groundbreaking from January to June 2015 – a 72 percent increase from the same time period one year ago.

Miami ranked No. 2 in the leading commercial and multifamily construction starts in the first half of 2015, with $3 billion spent on those projects. The remaining top metropolitan areas include Washington, D.C., at $2.4 billion; Boston at $2.2 billion; and Seattle at $2.1 billion.

The New York City metropolitan area during the first half of 2015 showed growth in both the commercial and multifamily sectors compared to the first half of 2014. Commercial building was up 84 percent, while multifamily building was up 67 percent. Large commercial building projects included two structures at the Hudson Yards development on Manhattan’s West Side – one worth $1.2 billion and the other worth $400 million. Additionally, 24 multifamily housing projects valued at $100 million or greater reached groundbreaking in the New York City metropolitan area during this time period.

“Market fundamentals such as occupancies and rents continue to show improvement, which supports further growth for commercial and multifamily construction,” says Robert Murray, chief economist for Dodge Data & Analytics. “While the expansion for the overall economy remains tepid, as shown by the 2.3 percent growth for GDP in the second quarter, commercial and multifamily development continues to be a prime focus of the investment community in its search for yield.”

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About the Author:

Allison Kral is the former senior digital media manager for North Coast Media (NCM). She completed her undergraduate degree at Ohio University where she received a Bachelor of Science in magazine journalism from the E.W. Scripps School of Journalism. She works across a number of digital platforms, which include creating e-newsletters, writing articles and posting across social media sites. She also creates content for NCM's Portable Plants magazine, GPS World magazine and Geospatial Solutions. Her understanding of the ever-changing digital media world allows her to quickly grasp what a target audience desires and create content that is appealing and relevant for any client across any platform.

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