Construction News for the Week Ending Aug 28, 2026
SpaceX’s $100 Billion Spaceport in Louisiana
SpaceX plans to build a $100 billion spaceport in Pecan Island, Louisiana, to launch its reusable Starship spacecraft. The project, expected to create 3,000 direct jobs, will include launch complexes, a propellant production facility, and residential housing. Despite the site’s vulnerability to storms, SpaceX will partner with local agencies to restore wetlands and ensure storm protection.
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Recruiting and Retaining Gen Z in Construction
Construction firms should recruit Generation Z by highlighting career advancement opportunities and the tangible results of their work. To retain young workers, companies must address their desire for work-life balance and be open to innovative approaches. Experienced workers should embrace knowledge transfer, recognizing the value of their expertise while being open to learning from younger colleagues.
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Texas Approves $138 Billion Transportation Investment
The Texas Transportation Commission approved a $138 billion investment in the state’s transportation infrastructure over the next decade. The funding, driven by economic and population growth, will address congestion, improve safety, and support growing communities. The investment will be allocated to various categories, including public transportation, maritime, aviation, and roadways.
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Spurs Choose Mortenson and Bartlett for New Arena Construction
The San Antonio Spurs selected Mortenson and Bartlett Cocke General Contractors to lead construction management for their new $1.3 billion downtown arena. The county and city will provide funding, with the Spurs covering the remaining costs. The arena will anchor a new sports and entertainment district, including a convention center expansion, hotel, and improvements to the Alamodome.
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Drone Usage in U.S. Construction: DJI Dominance Despite Tariff Challenges
A survey by Associated Builders and Contractors found that 97% of respondents use drones manufactured by China-based DJI on U.S. construction sites. While tariffs on certain drones could pose challenges, the accessibility and potential benefits of drone technology make it an attractive investment for contractors.
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Steady Inflation in July Amid Consumer Confidence Concerns
Inflation remained steady in July, with the core personal consumption expenditures price index rising 0.2% and 3.3% year-over-year. This allows the Federal Reserve to maintain current borrowing costs while monitoring the impact of tariffs and the U.S.-Iraq conflict on price pressures. Despite a slight increase in disposable income, consumer confidence declined due to concerns about jobs, income, and business conditions.
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Tennessee Approves $9.2B I-24 P3 Project
The Tennessee Transportation Modernization Board approved a public-private partnership to construct a $9.2 billion interstate project. The project, the largest P3 concession for an interstate choice lanes project in the country, will add new choice lanes to I-24 between Nashville and I-840.
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NYC’s $4B BQE Rehabilitation Plan
NYC plans to spend $4 billion to rehabilitate a 1.5-mile section of the Brooklyn-Queens Expressway (BQE) between Atlantic Avenue and Sands Street. The project, starting in 2030 and lasting 10 years, will repair aging concrete and the deteriorating triple-cantilever section. While the project focuses on BQE Central, the rest of the highway, under state jurisdiction, remains a concern.
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Canada’s Retaliatory Tariffs on U.S. Goods
Canada will implement retaliatory tariffs on U.S. goods starting September 8th, matching the rates imposed by the U.S. on Canadian imports. The tariffs will target steel, dairy, appliances, agricultural equipment, electronics, and pulp and paper, with a $7.5 billion support package for impacted businesses.
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Shapiro’s Executive Order May Slow Pennsylvania Data Centers
Pennsylvania Governor Josh Shapiro’s new executive order, incorporating GRID requirements, could slow data center projects in the state. The order mandates commitments to local hiring, community benefits, and environmental standards, including water conservation. While established developers with committed users and financing should be able to adjust, speculative projects may face increased costs and complexity, potentially driving investment to other states.
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Anderson Dam Seismic Retrofit Project Begins
Contractors FlatironDragados and Sukut Construction have begun work on the $1.9 billion Anderson Dam Seismic Retrofit project in Morgan Hill, California. The project, which will cost $2.8 billion overall, includes rebuilding the dam to meet seismic safety standards and constructing a new outlet tunnel. This project reflects a broader trend of investment in water security and infrastructure improvement.
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July Construction Surge: Megaprojects Drive 25.6% Increase
Construction activity surged in July, with total starts rebounding 25.6% month over month to $1.79 trillion, driven by megaprojects. While some sectors like healthcare and hotels saw declines, data centers and manufacturing experienced significant growth, contributing to a 57.7% increase in nonresidential starts. Residential construction also saw a slight increase in July, but remains down 1.7% year to date.
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Trump Backs Data Centers Amid Opposition
President Trump defended data centers, highlighting their economic benefits and job creation potential. While acknowledging opposition from some communities, he emphasized their importance for technological innovation and urged communities to embrace them. Despite Trump’s support, data centers face opposition due to environmental concerns and limited long-term job creation.
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Tesla’s $10.1 Billion Solar Facility in Texas
Tesla plans to invest $10.1 billion in a solar cell manufacturing facility near Houston, Texas, as part of Elon Musk’s plan to increase U.S. solar power capacity. The project, named Project Crystal Sun, aims to create thousands of jobs and significantly expand Tesla’s solar manufacturing capabilities. Tesla is seeking incentives from the state to offset property taxes and make the Fort Bend County site competitive.
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Turner Construction Data Breach Affects 6,000, Under Investigation
Turner Construction notified over 6,000 individuals of a data breach involving sensitive information, including Social Security numbers and bank account details. The breach, attributed to the ransomware group Payouts King, also compromised engineering documents and military project files. Turner is offering identity protection services and is under investigation for potential class-action lawsuits.
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Supreme Court Allows Trump’s $300 Million White House Ballroom Project
The Supreme Court ruled that President Trump can proceed with the construction of a new ballroom at the White House, estimated to cost taxpayers $300 million. The National Trust for Historic Preservation sued to stop the construction, arguing that Congressional approval was required. Trump claims the ballroom is necessary for hosting events and national security, while critics argue it is an unnecessary and costly addition.
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Abbott Criticizes AI Data Centers for Lack of Community Support
Texas Governor Greg Abbott, once supportive of the AI data center boom, now criticizes data center companies for failing to gain community support. He blames the backlash on the rapid buildout and lack of community engagement, leading to voter anger and potential political consequences for Republicans. This opposition, shared by Democrats and independents, could hinder the AI industry’s growth by limiting the necessary infrastructure.
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The Trump administration paused Big Bend National Park construction. Here's what Texas leaders are told is next
Following backlash over border-related construction in Big Bend National Park, U.S. Customs and Border Protection Commissioner Rodney Scott halted work. Texas Governor Greg Abbott, who had previously discussed the issue with the Department of Homeland Security Secretary, expressed confidence that the construction plans would be revised to avoid unnecessary road building.
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$1.9B Van Nuys Light Rail Contract Awarded
A Skanska-Stacy Witbeck joint venture secured a $1.9 billion contract with the Los Angeles County Metropolitan Transportation Authority for a light rail transit project in Van Nuys. The project includes constructing 6.7 miles of light rail line, a rail and maintenance facility, and 11 new stations, with completion expected in December 2031.
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Strawberry High Line Canal Transformation Project
A joint venture team will transform the Strawberry High Line Canal in Utah into a modern, pressurized system. The project, estimated at $750 million, will replace the open-water canal with a buried pipeline and repurpose the corridor for a regional trail. The project aims to improve water delivery for agriculture and urban communities, supporting a population of approximately 420,000.
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