During the very same weeks that have seen a decline in construction jobs nationally, according to the latest Bureau of Labor Statistics survey, overall prospects for the industry remain greatly varied, depending upon the region.
So reports the latest edition of the Beige Book, the publication issued by the U.S. Federal Reserve that provides anecdotal but often highly predictive perspectives on economic trends in the twelve federal reserve districts.
In the new report it is noted that construction activity in the 10th District, which includes all of Colorado and the northern half of New Mexico, indicates that the “delivery of new multifamily housing units is expected to grow slightly faster than last year.”
That multifamily construction is “expected to be mostly outside the largest metro areas,” with data centers, health care, and senior housing facilities promising the most work, and office properties the least.
In the sprawling 11th District, which takes in all of Texas and the southern half of New Mexico, the housing market is “little changed” over where things stood in the fall of 2025. “Homebuilders continued to report an elevated level of speculative inventory, with ongoing downward pressure on home prices and margins.”
The overall outlook for the district, continues the Beige Book, remains “cautious with contacts expecting housing starts to be lower this year compared with 2025.”
Reports from the 12th District, which encompasses all of Arizona, see construction activity generally restrained due to elevated costs.
Much of the district’s restrained construction activity is attributable to a residential real estate market that has slightly softened. “Demand for multi-family housing was generally stable, but lagged supply in some markets.”
Adds the report: “Construction activity has remained weak overall but was somewhat propped up by infrastructure and health care sector projects.”
Overall, the Beige Book said reports from most of the districts indicated a “slight to moderate pace” in terms of economic activity. Winter storms impacted regions vulnerable to winter storms, while “immigration enforcement activity negatively affected consumer demand in urban areas.”
March 10, 2026
By Garry Boulard
