Construction spending in the U.S. increased in July to the highest level since 2009, the Commerce Department reported today. Collectively, spending on commercial projects, public projects and private housing rose 0.6%, reaching an annual rate of $900.8 billion.
Among the key drivers of the increase is the private residential sector, where construction spending posted a $334.6 billion annual rate. That’s a 17.2% gain since July 2012, and the highest level since September 2008.
In addition to the housing sector, private lodging is also propelling the overall increase in construction spending. Demand for new hotels has fueled spending to an annual rate of $14.6 billion. Since July 2012, construction spending in the lodging sector grew nearly 33%.
Photo Above: The latest creation from Good Form located in an A+ Sunset Strip location.