Construction planning activity closed out 2025 on a strong note, fueled by continued momentum in data centers, healthcare facilities and other large nonresidential projects, according to Dodge Construction Network.
The Dodge Momentum Index, which tracks nonresidential projects entering the planning phase and typically leads construction spending by about a year, increased 7% in December. Both commercial and institutional planning posted gains during the month, rising 3.5% and 14.9%, respectively, Dodge said.
Those December gains helped push the index to finish 2025 up 37% compared with 2024, with commercial planning up 35% year over year and institutional planning climbing 43%. Familiar growth drivers — particularly data centers and healthcare projects — continued to account for much of the expansion, said Sarah Martin, associate director of forecasting at Dodge Construction Network.
Looking ahead, Dodge expects planning momentum to continue translating into increased construction activity.
“Nonresidential construction starts, excluding manufacturing and transportation, are projected to accelerate in 2027 alongside sustained planning momentum in data center, healthcare and recreational building construction throughout 2025,” Martin said in the release. “Inflationary pressures will further support nominal activity levels, even as economic risks remain elevated.”
Martin also noted that projects entering planning in the fourth quarter of 2025 advanced more quickly through early stages than those in the third quarter, providing additional optimism for near-term construction activity.
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“That gives a modest boost to our near-term outlook,” she said.
On a year-over-year basis, the Dodge Momentum Index was up 50% compared with December 2024. Commercial planning rose 45% over that period, while institutional planning jumped 60%. Even excluding the surge in data center development, commercial planning activity still increased 30% year over year, according to Dodge.
December also saw a significant influx of large-scale projects. A total of 34 projects valued at $100 million or more entered the planning pipeline during the month. Major commercial projects included four $500 million phases of Google’s data center campus in Summit, Oklahoma, as well as Phases 2 and 3 of the Central Park Data Information Processing Center in Loxahatchee, Florida, valued at $473 million and $431 million, respectively.
On the institutional side, the largest projects to enter planning included the $450 million Atrium Health Hospital in Fort Mill, South Carolina; the $295 million St. Joseph Hospital Tower in Stockton, California; and the $182 million SunRay Casino and Park in Clovis, New Mexico.
Together, the data underscores how large-scale commercial and institutional investments — particularly in digital infrastructure and healthcare — continue to drive nonresidential construction planning as the industry heads into 2026.
Originally reported by Sebastian Obando, Reporter in Construction Dive.
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