The Dodge Momentum Index (DMI) for August reports a 2.9% increase to a new score of 220.4 following July’s revised total of 214.2. Over the month, commercial planning expanded by 1.9%, and institutional planning was up another 5.7%.  

"Owners and developers continued to prime the planning queue in August, ahead of next year’s anticipated stronger market conditions," Sarah Martin, the associate director of forecasting at Dodge Construction Network, said. "With the Fed’s September rate cut all but finalized, the influence of selective lending standards and inflation should moderate next year, alongside a modest upgrade to consumer demand. As a result, stronger planning activity was widespread in August, with most nonresidential sectors seeing growth."

The commercial planning sector was led again by data center and warehouse projects, while on the institutional side, healthcare projects continued to be a primary driver. 

For August, the DMI was 31% higher than in August of 2023. The commercial segment was up 42% from year-ago levels, and the institutional segment was up 8% over the same period. A total of 30 projects valued at $100 million or more entered planning throughout August. 

The largest commercial projects included the $500 million Tract Data Center Complex in Yuma, Arizona, and the $462 million KDC Data Center Campus in Irving, Texas. The largest institutional projects to enter planning were the $440 million Geisinger Medical Center Tower in Danville, Pennsylvania, and a new $240 million academic and research facility for the University of Cincinnati.   

Our recent survey of architects' opinions on the current business climate and subsequent factors behind the architecture industry's economic slowdown are also useful resources.