On the heels of a nearly three-point increase, the Architecture Billings Index (ABI) climbed into positive terrain for the first time in five months. As a leading economic indicator of construction activity, the ABI reflects the approximate nine to twelve month lag time between architecture billings and construction spending.
The AIA reported the August ABI score was 50.2, up from the mark of 48.7 in July. This score reflects an increase in demand for design services (any score above 50 indicates an increase in billings). The new projects inquiry index was 57.2, up from mark of 56.3 the previous month.
“Until the economy is on firmer ground, there aren’t likely to be strong increases in demand for design services,” said AIA Chief Economist, Kermit Baker, PhD, Hon. AIA. “In the meantime, we can expect to see design activity alternate between modest growth and modest decline.”
Key August ABI highlights:
- Regional averages: South (52.2), West (51.2), Northeast (45.5), Midwest (45.3)
- Sector index breakdown: multi-family residential (53.0), institutional (50.2) commercial/industrial (47.9), mixed practice (46.8)
- Project inquiries index: 57.2. +
Related Stories
40 Under 40 | Sep 21, 2017
Meet the 40 Under 40 Class of 2017
These AEC stars are making their mark in business, philanthropy, and in their communities.
Office Buildings | Sep 20, 2017
Five Stantec offices move into one Fifth Avenue location
The new location provides the firm with 40,000 sf of space.
Architects | Sep 19, 2017
What we talk about when we talk about placemaking
What does Good Growth mean and how do we set about achieving it?
Architects | Sep 13, 2017
Leo A Daly hires hospitality-design veteran to lead its Dallas office
Ken Martin views this sector as an incubator of innovation.
Museums | Sep 8, 2017
CAF announces plans for 20,000-sf Chicago Architecture Center to be built on East Wacker Drive
The Adrian Smith + Gordon Gill-designed space will open in summer 2018.
Architects | Sep 6, 2017
Fake architect caught in ‘Operation Vandelay Industries’ sentenced to 2 1/3 to 7 years in prison
The fake architect must also pay a $115,000 restitution.
Architects | Sep 6, 2017
Top 110 university architecture firms
Perkins+Will, Gensler, and CannonDesign top BD+C’s ranking of the nation’s largest university sector architecture and AE firms, as reported in the 2017 Giants 300 Report.
Contractors | Sep 6, 2017
Following the money: G702 progress payment certifications
There is no single method of calculating progress payments, but the most common formula is the percentage of completion applied to the total contract price, less a retainage which is held by the owner until final acceptance of the project.
Multifamily Housing | Sep 5, 2017
Free WiFi, meeting rooms most popular business services amenities in multifamily developments
Complimentary, building-wide WiFi is more or less a given for marketing purposes in the multifamily arena.
Architects | Sep 1, 2017
5 reasons why AEC firms need to focus on employer branding
Not to be confused with the branding of your firm overall, your employer brand is defined by your reputation as a workplace.
