The ConstructConnect Project Stress Index (PSI), which tracks delayed bid dates, on-hold projects, and abandonments in preconstruction, dropped 0.6 percent in September, the firm reported on October 8.
The PSI is a seasonally adjusted, equal-weight measure of delayed, on-hold, or abandoned projects.
“The decline came from retreats in project abandonments and bid date delays, which fell 9.6 percent and 3.8 percent, respectively. In comparison, on-hold activity rose 19.5 percent, though it remained near historically low levels. The PSI has risen negligibly compared to the same period last year, explained by a 10.7 percent [year-over-year] increase in bid date delay activity offset by a 11.1 percent increase in abandonments and a small rise in on-hold activity … Public and private projects largely trended together in September. Bid date delays fell in both sectors, with private activity reaching near all-time lows. On-hold activity has increased slightly in public and private projects, with both sectors remaining above historic averages. Abandonment patterns showed the only divergence, as the public sector saw a sharp decrease following a jump to record highs in August. In contrast, private sector abandonments grew, remaining well below the spike recorded a few months ago. Despite opposing movements this month, both sectors remain near all-time highs in abandonment activity,” the firm’s latest report reads.
