What's Happening?
According to PCL Construction's 2026 Construction Industry Outlook, three key sectors are expected to drive nonresidential construction spending in the U.S. in 2026. These sectors include data centers,
water resilience, and aviation. Data center construction spending increased by over 33% in 2025 and is projected to grow by another 20% in 2026, although power availability remains a challenge. Water resilience projects are expanding, with over 600 water reuse projects in development, and investments in municipal water infrastructure expected to reach $47.1 billion by 2035. Aviation projects will need to rely on traditional funding sources as federal funding expires, with hub airports best positioned to maintain improvements.
Why It's Important?
The focus on these sectors highlights critical areas of infrastructure development in the U.S. Data centers are essential for supporting the growing demand for digital services, while water resilience projects address the pressing issue of water scarcity affecting millions of Americans. The aviation sector's reliance on traditional funding sources may impact the pace of airport improvements, affecting passenger experience and capacity. These developments indicate where future investments and policy efforts may be concentrated, influencing economic growth and infrastructure resilience.
