Construction activity in Denver (and throughout Colorado) remains remarkably high. Sherman & Howard's Construction Index rose to 119.15 for the quarter, which establishes a new record high for the Index. The previous high was 118.53 set in March 2007, immediately prior to the onset of the last recession.

The Index pushed higher in winter 2015 despite flat employment growth over the summer, a condition blamed on serious labor shortages in about half of U.S. markets and confirmed locally. Industry data shows that 86 percent of contractors nationwide had difficulty filling key positions during that period, and experts speculate that the $1.1 trillion of construction spending documented in September 2015 would have been even higher had the market not been constrained by labor shortages. While some softening appears to be developing in the construction market nationwide, growth is likely to continue in Colorado through 2016 absent the development of unforeseen negative market factors.