Main Index for Industrial Actual Property Will increase in December
by Calculated Danger on 1/09/2023 04:31:00 PM
From Dodge Knowledge Analytics: Dodge Momentum Index Wraps up 2022 with December Growth
The Dodge Momentum Index (DMI), issued by Dodge Development Community, improved 6.6% (2000=100) in December to 222.2 from the revised November studying of 208.3. In December, the industrial element of the DMI rose 8.4%, and the institutional element ticked up 2.7%.
“One of many key building storylines for 2022 was the return of enthusiasm and optimism in prospects for nonresidential development,” said Richard Department, chief economist for Dodge Development Community. “Whereas a few of that may doubtless erode in 2023 as financial development wanes, elevated demand for some constructing sorts like knowledge facilities, labs, and healthcare buildings will present a strong ground for the development sector.”
Industrial planning in December was supported by broad-based will increase throughout workplace, warehouse, retail and resort planning. In the meantime, institutional development centered on recreation and public constructing, with schooling and healthcare planning exercise remaining flat. On a year-over-year foundation, the DMI was 40% larger than in December 2021; the industrial element was up 51%, and institutional planning was 20% larger.
…
The DMI is a month-to-month measure of the preliminary report for nonresidential constructing initiatives in planning, proven to guide building spending for nonresidential buildings by a full yr.
emphasis added
Click on on graph for bigger picture.
This graph reveals the Dodge Momentum Index since 2002. The index was at 222.2 in December, up from 208.3 in November.
In accordance with Dodge, this index leads “building spending for nonresidential buildings by a full yr”. This index suggests a strong pickup in industrial actual property building into 2023.
