Today’s Construction Economy Report – Q2 2025

U.S. construction is beginning to feel the delayed impact of rising rates, tightening capital, and trade uncertainty, with growth expected to slow and costs to rise in 2025. MSI Economics forecasts elevated risk-driven inflation led by workforce constraints and material availability. For the rest of 2025, contractors are expected to rely more on backlog and to seek escalation clauses to offset rising material prices. While strength persists in data centers and publicly backed sectors, uncertainty in federal funding could slow delivery in the latter. The direction of interest rates and material pricing will shape the second-half outlook. The price paid for new nonresidential construction is expected to increase by 2.9% year over year (YoY) 2025, vs. just 0.1% revised in 2024.

Download our Q2 Construction Economy Report and get all the details from MOCA Construction Economist, Brandon Michalski.

Download Report

Meet the Author

Brandon Michalski
Principal, Construction Economist

Brandon Michalski is the lead economist for MOCA Systems, Inc., a leading owner’s representative firm providing program and project management services. Brandon’s decade in the mining and heavy construction industries provides a foundation for subject matter expertise. He holds a Master of Science in Applied Economics from Johns Hopkins University in Baltimore, MD as well as a Bachelor’s Degrees in both Mining Engineering and Biology from West Virginia University in Morgantown, WV. Brandon currently lives in Chicago, Illinois with his family and enjoys hiking and camping.

Brandon Michalski headshot
Scroll to Top

Mr. McGlone performs program and project management responsibilities for a wide range of activities in the engineering and construction field.  With over 20 years of experience, specializing in Civil, Environmental, Cost and Value Engineering, Facility/Community Planning, Property Development, Budget Analysis, Contract Administration/Negotiation, Construction Management, Personnel Management, and Business Development.  Mr. McGlone currently manages the Project Controls/Cost Engineering Department for his current company, where he oversees preparation and provides quality assurance of cost estimates for over $8.0 billion in construction value annually for various federal and state government and commercial clients. He has developed facility requirements valued at over $1 Billion for various government and commercial clients through information gathering charettes and produces comprehensive documentation with concept reports, drawings, and cost estimates.  He has supervised project managers, engineers, architects, estimators, surveyors, draftsmen, and construction superintendents.