KEY POINTS
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August 2026 Total Nonresidential Construction Starts—the sum of Nonresidential Building and Civil Construction—reached $99.0 billion, up $13.6 billion, or 15.9%, from July.
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August’s total was the second-highest monthly reading in recorded history and stood well above the trailing 12-month average of $77.7 billion.
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Year to date (YTD), Total Nonresidential Construction Starts reached $659.5 billion, a 20.5% increase over the comparable period in 2025, or approximately $112 billion more.
Second-Highest Total in Recorded History
ConstructConnect announced today that August 2026 Total Nonresidential Construction (NR) Starts—the combined value of Nonresidential Building and Civil Construction—reached $99.0 billion, up $13.6 billion, or 15.9%, from July.
August’s total was the second-highest monthly reading in recorded history and well above the trailing 12-month average of $77.7 billion.
The first eight months of 2026 now contain the first-, second-, fifth- and sixth-highest months of nonresidential construction starts on record. Construction starts represent the total value of projects breaking ground during a given time interval.
Year to date, Total Nonresidential Construction Starts reached $659.5 billion, representing a 20.5% lead over the comparable 2025 period. In dollar terms, that is an increase of approximately $112 billion, with 2025’s comparable YTD total at $547.5 billion.
Shown in an image, the August 2026 Total Nonresidential Construction Starts — the sum of Nonresidential Building and Civil Construction — were $99.0 billion, up $13.6 billion from July. That is the second highest monthly total in recorded history and well above the trailing 12-month average of $77.7 billion. Image: ConstructConnect Construction Economy Snapshot
August Sets a New One-Month Record for Megaproject Starts
August set a new 1-month record in the total value of megaprojects breaking ground at $46.1 billion. Megaprojects are those over $1 billion in total construction value. August is the third consecutive month in which the megaprojects record has been broken.
In the latest June and July readings, megaprojects totaled $34.2 billion and $34.9 billion, respectively. The largest projects in these prior months included Micron’s $25 billion chip fabrication plant, and Elon Musk’s new humanoid robot factory, “Optimus Factory”, a $10 billion site in Austin, TX.
Michael Guckes, Chief Economist, ConstructConnect
Nonresidential Building Starts Up 26.4% Year to Date
Nonresidential Building (NRB)—the category covering offices, including data centers, schools, warehouses and hospitals—totaled $64.4 billion in August, up 6.2% from July.
Year to date NRB starts totaled $426.7 billion, up 26.4% from the comparable 2025 period. Offices, including Data Centers, and Hospitals accounted for a combined $65.9 billion of the YTD increase, or roughly three-quarters of the total gain in NRB starts.
Office starts were particularly volatile during the month, reaching $15.9 billion in August after $4.3 billion in July. On a YTD basis, the Office category reached $109.2 billion, up 109.9% from the comparable period in 2025.
Other large-dollar categories with notable YTD gains included Prisons, up 305.6%; Power Infrastructure, up 119.9%; Military, up 59.9%; and Hospitals/Clinics, up 48.1%. Manufacturing, by contrast, was down 2.8% YTD.
Civil Construction Gains Fueled by Power Infrastructure
Civil Construction, also known as Heavy Engineering, reached $34.6 billion in August, up 39.8% from July. YTD Civil Construction starts totaled $232.7 billion, up 10.8%, or $22.7 billion, from 2025.
Power Infrastructure climbed to $13.7 billion in August from $787 million in July, primarily because of the groundbreaking of the $13.0 billion Caturus Commonwealth LNG export facility.
The resulting YTD gain in Power Infrastructure was greater than the combined net increase from all other Civil Construction categories.
Roads/Highways reached $8.8 billion in August, down 20.8% from August 2025 but up 3.3% YTD. Bridges reached $3.3 billion, up 46.5% from August 2025 and 21.6% YTD. Water/Sewage starts totaled $4.2 billion in August and were up 4.5% YTD.
Residential Starts Remain Weak
Residential starts fell 14.9% from July to $20.9 billion in August and remained 8.8% below the comparable 2025 pace YTD. Single-family starts were down 9.2% YTD, while Multifamily starts were down 8.4%.
The contrast between strong nonresidential starts and weaker residential activity underscores the extent to which August’s overall construction results were shaped by large nonresidential and civil megaprojects.
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