The institutional building categories as a group increased 10% in May.  Educational facilities, the largest nonresidential building category by dollar volume, grew 8%.  Major educational facility projects that reached the construction start stage in May included a $140 million life science and engineering building at Boston University in Boston MA, a $90 million engineering building at the University of Maryland in College Park MD, an $88 million engineering building at Louisiana State University in Baton Rouge LA, and $70 million for three building additions at Harvard University's Kennedy School of Government in Cambridge MA.  The healthcare facilities category in May registered a strong 34% gain, aided by the start of the $750 million Memorial Sloan Kettering Cancer Center in New York NY and a $200 million hospital in Oxford MS.  The public buildings category in May rose 33%, helped by the start of a $95 million courthouse expansion in Waukegan IL and a $66 million detention facility in Bismarck ND.  On the negative side, the amusement category in May retreated 4% after a strong April, although May did include the start of the $149 million American Dream Water and Amusement Park in East Rutherford NJ.  Decreased activity was also reported for church construction, down 6%; and transportation terminal work, down 25%.  The transportation terminal decline followed a strong April that featured several large projects, and May did include $400 million for the start of two terminal upgrades at Los Angeles International Airport.

The 25% gain for total construction starts on an unadjusted basis for the first five months of 2015 was comprised of growth for all three major construction sectors.  Nonbuilding construction year-to-date climbed 70%, with electric utilities and gas plants up 434% and public works up 11%.  Residential building year-to-date advanced 14%, with multifamily housing up 24% and single family housing up 10%.  Nonresidential building year-to-date increased 8%, with manufacturing building up 38%, institutional building up 8%, and commercial building down 3%.  By geography, total construction starts during the January-May period of 2015 showed this performance relative to last year – the South Central, up 77%; the Northeast, up 22%; the South Atlantic, up 14%; the Midwest, up 5%; and the West, up 2%.

May 2015 Construction Starts

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MAY 2015 CONSTRUCTION STARTS