November U.S. Construction Spending Ticks Lower

Spending on private residential construction rose 0.4%, compared with the revised October rate. Private nonresidential construction declined 0.7% and total private spending fell 0.2%.

In the private sector, single family residential construction is 29.4% higher than it was a year ago, and multifamily construction is up 45.9% from November 2011. Private commercial construction is up 6.8% year-over-year.

In the public sector, total spending is down 2.6% year-over-year, continuing a slide begun in September. Spending on educational facilities rose 0.1% month-over-month and fell 3.4% from November 2011. Public residential construction rose 1.5% month-over-month, but has fallen 14.2% year-over-year.

Residential construction picked up in November, likely due to rebuilding in the aftermath of Hurricane Sandy. But rates of growth in nonresidential construction are slowing.

Paul Ausick