Nonresidential construction spending on buildings is projected to grow by 4.4 percent through 2019, according to a new consensus forecast from The American Institute of Architects (AIA).
Healthy gains in the industrial and institutional building sectors have bolstered growth projections for 2019; however, the AIA Consensus Construction Forecast Panel—consisting of leading economic forecasters—is suggesting that a broader economic downturn may be materializing over the next 12-24 months. Learn more about this Consensus Construction Forecast online.
“Though the economy has been performing very well recently, trends in business confidence scores are red flags that suggest a slowdown is likely for 2020,” said AIA Chief Economist Kermit Baker, Hon. AIA, PhD. “These signals may be temporary responses to negative short-term conditions, but historically they have preceded a more widespread downturn.”
|
2019 |
2020 |
|
|
Overall nonresidential building |
4.4% |
2.4% |
|
Commercial/industrial total |
3.5% |
0.6% |
|
Hotels |
3.9% |
-0.7% |
|
Office space |
5.1% |
1.2% |
|
Retail |
1.9% |
0.4% |
|
Industrial total |
4.8% |
2.7% |
|
Institutional total |
4.8% |
2.9% |
|
Public safety |
6.8% |
4.9% |
|
Healthcare facilities |
4.0% |
3.6% |
|
Education |
5.5% |
4.1% |
|
Amusement / recreation |
4.4% |
0.6% |
|
Religious |
-2.6% |
-1.2% |