According to ConstructConnect’s Project Stress Index (PSI), after reaching historic levels in June, project abandonments dropped by 37 percent in July but remain well above 2024 levels.
The PSI closed in July at 114.1, down 24.3 percent from June. The PSI composite represents an equal-weight measure of the seasonally adjusted level of preconstruction projects that have experienced a delayed bid date, been placed on hold, or abandoned in the last 30 days. The PSI only monitors nonresidential and multifamily projects in their preconstruction phases, excluding any single-family home construction. Each component has been seasonally adjusted and then indexed against its 2021 average weekly reading.
Despite the significant decrease in abandonments in July, the number of projects that have been walked away from remains up 38.1 percent from 2024. According to the PSI, on-hold activity was down 15.4 percent in July (also down 15.9 percent year-over-year), and bid date delays were down 4 percent (but up 3.2 percent year-over-year).
According to the report from ConstructConnect, “project abandonments typically follow a seasonal pattern, with elevated abandonment levels in the first half of the year before trailing off in the second half. July 2025 has broken the trend with both construction sector abandonments remaining near historic upper bounds going into the second half of the year.”
