Construction spending up in March

Construction spending increased in March.

Spending among the construction industry increased slightly in February, according to the Commerce Department. The increased activity is in part due to a rebound in construction for hotels and other nonresidential buildings.

Construction spending as a whole grew by 0.1 percent in February to a seasonally adjusted annual rate of $945.7 billion. The figures in February 2014 are also a 8.7 percent growth from February 2013's mark of $869.9 billion.

Although the industry only posted a small overall increase from January, several sectors recorded positive numbers in February. Nonresidential projects – such as office buildings, shopping centers and hotels – rose by 1.2 percent. Hotel construction spearheaded this sector with a 3.5 percent growth from January. Government projects recorded a growth of 0.1 percent.

The nonresidential figures are a pleasant surprise as this sector posted a 1 percent decrease in January. The seasonally adjusted annual rate of this sector was $319.6 billion.

Public construction projects rose by 0.1 percent over the last month. The Associated Press said this is in part due to a 5.8 percent increase in federal spending, which offset a 0.5 percent decline in state and local government projects.

Builders and construction companies who are looking to their workforces can enlist the services of operations recruiters to help in their search.

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