While the building industry faces multiple challenges, bright spots have emerged.

According to a February report from ConstructConnect, an industry software and data provider, the construction market in Louisiana is booming.

Three segments are giving the market a boost. Spending on construction of office, manufacturing and power projects all grew by more than 100%.

ConstructConnect measures growth in the industry with a metric known as “put-in-place” spending. Unlike the commonly used metric of “construction starts,” which calculates the total value of a project at the time it breaks ground, put-in-place spending measures the value of work performed over the duration of a project's timeline.

ConstructConnect projects Louisiana's put-in-place spending to reach $37 billion for all of 2025. This would represent a 56.2% increase from the $23.7 billion recorded in 2024.

Other significant patterns also emerge from the data. For example, the office category, which includes data centers, drove overall growth with a twelvefold increase in put-in-place spending. The data center investment reflects a similar pattern occurring in other states.

Spending for manufacturing and power projects more than doubled. Specifically, manufacturing construction spending grew by 159%, and power project spending grew by almost 118%. Power sector spending includes spending on energy infrastructure projects. This is a broad category that encompasses a variety of projects, such as power plants, transmission lines, pipelines, refineries and storage facilities. In the case of Louisiana, growth is being driven primarily by large liquid natural gas facilities.

ConstructConnect projects the market for construction in Louisiana to maintain its momentum into the new year. It forecasts annual put-in-place spending for the state close to $70 billion for all of 2026.

Also of note, while office, manufacturing and power projects will continue to drive growth, other sectors will also expand. This includes growth in spending on construction of residential, education, sewage, waste disposal and water supply projects.