flexiblefullpage
billboard
interstitial1
catfish1
Currently Reading

Architecture Billings continue to lose ground

Market Data

Architecture Billings continue to lose ground

The pace of decline during December accelerated from November.


By AIA | January 19, 2021

Courtesy Pixabay

Demand for design services from U.S. architecture firms took a pointed dip last month, according to a new report from the American Institute of Architects (AIA).

The pace of decline during December accelerated from November, posting an Architecture Billings Index (ABI) score of 42.6 from 46.3 (any score below 50 indicates a decline in firm billings). Meanwhile, the pace of growth of inquiries into new projects remained flat from November to December with a score of 52.4, though the value of new design contracts stayed in negative territory with a score of 48.5.

“Since the national economic recovery appears to have stalled, architecture firms are entering 2021 facing a continued sluggish design market,” said AIA Chief Economist Kermit Baker, PhD, Hon. AIA.  “However, the recently passed federal stimulus funding should help shore up the economy in the short-term, and hopefully by later this year there should be relief as COVID vaccinations become more widespread. Recent project inquiries from prospective and former clients have been positive, suggesting that new work may begin picking up as we move into the spring and summer months.”

Key ABI highlights for December include:

•    Regional averages: South (46.8); Midwest (43.6); West (43.4); Northeast (38.8) 
•    Sector index breakdown: mixed practice (48.0); commercial/industrial (47.2); multi-family residential (46.1); institutional (38.5)
•    Project inquiries index: 52.4
•    Design contracts index: 48.5

The regional and sector categories are calculated as a three-month moving average, whereas the national index, design contracts and inquiries are monthly numbers.

Visit AIA’s website for more ABI information.

Related Stories

Senior Living Design | May 9, 2017

Designing for a future of limited mobility

There is an accessibility challenge facing the U.S. An estimated 1 in 5 people will be aged 65 or older by 2040.

Industry Research | May 4, 2017

How your AEC firm can go from the shortlist to winning new business

Here are four key lessons to help you close more business.

Engineers | May 3, 2017

At first buoyed by Trump election, U.S. engineers now less optimistic about markets, new survey shows

The first quarter 2017 (Q1/17) of ACEC’s Engineering Business Index (EBI) dipped slightly (0.5 points) to 66.0.

Market Data | May 2, 2017

Nonresidential Spending loses steam after strong start to year

Spending in the segment totaled $708.6 billion on a seasonally adjusted, annualized basis.

Market Data | May 1, 2017

Nonresidential Fixed Investment surges despite sluggish economic in first quarter

Real gross domestic product (GDP) expanded 0.7 percent on a seasonally adjusted annualized rate during the first three months of the year.

Industry Research | Apr 28, 2017

A/E Industry lacks planning, but still spending large on hiring

The average 200-person A/E Firm is spending $200,000 on hiring, and not budgeting at all.

Market Data | Apr 19, 2017

Architecture Billings Index continues to strengthen

Balanced growth results in billings gains in all regions.

Market Data | Apr 13, 2017

2016’s top 10 states for commercial development

Three new states creep into the top 10 while first and second place remain unchanged.

Market Data | Apr 6, 2017

Architecture marketing: 5 tools to measure success

We’ve identified five architecture marketing tools that will help your firm evaluate if it’s on the track to more leads, higher growth, and broader brand visibility.

Market Data | Apr 3, 2017

Public nonresidential construction spending rebounds; overall spending unchanged in February

The segment totaled $701.9 billion on a seasonally adjusted annualized rate for the month, marking the seventh consecutive month in which nonresidential spending sat above the $700 billion threshold.

boombox1
boombox2
native1

More In Category




halfpage1

Most Popular Content

  1. 2021 Giants 400 Report
  2. Top 150 Architecture Firms for 2019
  3. 13 projects that represent the future of affordable housing
  4. Sagrada Familia completion date pushed back due to coronavirus
  5. Top 160 Architecture Firms 2021