Commerce Dept. Data Shows Value of New Construction Finishes 2012 Up 7.8% YTY

The Department of Commerce recently announced that construction spending during Dec. 2012 was estimated at a seasonally adjusted annual rate of $885.0 billion, 0.9% above the revised November estimate of $876.9 billion. The December figure is 7.8% above the Dec. 2011 estimate of $820.6 billion. The value of construction in 2012 was $850.2 billion, 9.2% above the $778.2 billion spent in 2011.

Private construction. Spending on private construction was at a seasonally adjusted annual rate of $614.9 billion, 2% above the revised November estimate of $602.9 billion. Residential construction was at a seasonally adjusted annual rate of $308.2 billion in December, 2.2% above the revised November estimate of $301.7 billion. Nonresidential construction was at a seasonally adjusted annual rate of $306.7 billion in December, 1.8 % above the revised November estimate of $301.2 billion.

The value of private construction in 2012 was $574.6 billion, 16.1% above the $49 billion spent in 2011. Residential construction in 2012 was $276.8 billion, 16.8% above the 2011 figure of $237 billion and nonresidential construction was $297.7 billion, 15.4% above the $258 billion in 2011.

Public construction. In December, the estimated seasonally adjusted annual rate of public construction spending was $270.1 billion, 1.4% below the revised November estimate. Educational construction was at a seasonally adjusted annual rate of $65.5 billion, 0.7% below the revised November estimate of $66 billion. Highway construction was at a seasonally adjusted annual rate of $78.5 billion, 0.7% above the revised November estimate. The value of public construction in 2012 was $275.6 billion, 2.7% below 2011 expenditures. Educational construction in 2012 was $67.7 billion, 3.5% below the 2011 figure of $70.1 billion.