The Daily Dig
Total U.S. construction starts climbed 9.0% in April to a seasonally adjusted annual rate of $1.33 trillion, according to Dodge Construction Network. The gains were broad, with 9 of the 15 tracked categories posting double or triple-digit month-over-month growth. Year-to-date through April, total starts are up 5.4%.
Nonresidential building was the standout, rising 18.6% to a $550 billion annual rate. Commercial starts led the way, up 41.4% month-over-month. Offices and data centers drove most of that gain at 46.1%, but every commercial subcategory moved higher: parking garages up 120.4%, warehouses up 25.0%, hotels up 12.8%, and stores up 5.0%.
Institutional starts gained 12.3% for the month, with every subcategory in positive territory. Education was up 13.2% and healthcare up 4.6%. Manufacturing pulled back 29.3% after posting a 251.4% surge in March.
The three largest nonresidential projects to break ground in April were the $5.0 billion Provident/PowerHouse Prairie Ridge Data Center Phase 1 in Midlothian, TX, the $1.9 billion SK Hynix HBM Advanced Packaging & R&D Hub in West Lafayette, IN, and the Stargate Data Center Campus in Saline Township, MI.
Nonbuilding construction increased 7.0% to a $394 billion annual rate. Highways and bridges were up 17.0%, miscellaneous nonbuilding gained 18.1%, and environmental public works rose 16.3%. The electric power and utilities segment fell 9.7% month-over-month, though year-to-date it remains up 79.3%, carried by large natural gas and renewable projects.
The largest nonbuilding starts included the $3.8 billion Bison Generation Station natural gas power plant in North Dakota, the $3.3 billion Cayuga Station Natural Gas Energy Replacement in Cayuga, IN, and the $1.0 billion Tradepoint Atlantic Container Terminal in Edgemere, MD.
Residential starts edged down 0.7%, with single-family up 4.2% but multifamily off 7.2% month-over-month. Year-to-date, residential is down 4.5%, with single-family starts down 10.9%. Regionally, the Midwest surged 66.9% and the Northeast gained 19.9%, while the South Central and West declined 14.5% and 8.6% respectively.
Snapshot:
Report: Dodge Construction Network, April 2026 Construction Starts
Total Starts (SAAR): $1.33 trillion (+9.0% m/m)
YTD Total Starts: +5.4%
Nonresidential Building (SAAR): $550 billion (+18.6% m/m)
YTD Nonresidential: +9.1%
Commercial Starts: +41.4% m/m
Offices/Data Centers: +46.1% m/m
Parking Garages: +120.4% m/m
Warehouses: +25.0% m/m
Hotels: +12.8% m/m
Stores: +5.0% m/m
Institutional Starts: +12.3% m/m
Education: +13.2% m/m
Healthcare: +4.6% m/m
Manufacturing Starts: -29.3% m/m (following +251.4% in March)
Nonbuilding Construction (SAAR): $394 billion (+7.0% m/m)
YTD Nonbuilding: +12.3%
Highways and Bridges: +17.0% m/m
Miscellaneous Nonbuilding: +18.1% m/m
Environmental Public Works: +16.3% m/m
Electric Power/Utilities: -9.7% m/m; YTD +79.3%
Residential Starts (SAAR): $383 billion (-0.7% m/m)
YTD Residential: -4.5%
Single-Family: +4.2% m/m; YTD -10.9%; 12-Month -15.0%
Multifamily: -7.2% m/m; YTD +7.9%
Regional Leaders: Midwest (+66.9% m/m), Northeast (+19.9% m/m), South Atlantic (+9.3% m/m)
Regional Declines: South Central (-14.5% m/m), West (-8.6% m/m)
TheJobWalk Thoughts
The data center pipeline is not slowing down. Two of the three largest nonresidential projects in April were data centers, and the third was a major semiconductor packaging and R&D facility. For electrical, mechanical, and structural steel contractors, that concentration of work matters. These are not quick builds. They run long schedules, carry significant scope, and pull subcontractor capacity out of the market for extended periods. If your firm is not already positioned with the GCs chasing this work, the window to get on bid lists is now, not after the next project is announced.
Single-family starts are down 10.9% year-to-date and down 15.0% over the trailing 12 months. That is a sustained contraction, not a monthly fluctuation. Trades that built their backlog around homebuilding volume need to be honest about where replacement work is coming from. Multifamily is up 7.9% year-to-date, but it is a different animal. The scopes are larger, the GCs are different, the scheduling is tighter, and the prequalification bar is higher. It is not a straightforward pivot for every residential sub.
The Midwest posted a 66.9% monthly surge. Before reading that as a regional boom, contractors and suppliers should identify exactly what drove it. A number that large almost always traces back to one or two major project starts. If those projects fall outside your trade or geography, the headline figure means nothing to your pipeline. Dig into the specifics before drawing any conclusions about market conditions in that region.
