With increasing demand for design services, the Architecture Billings Index (ABI) is continuing to strengthen. 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 American Institute of Architects reported the February ABI score was 54.9, up slightly from a mark of 54.2 in January. This score reflects a strong increase in demand for design services (any score above 50 indicates an increase in billings). The new projects inquiry index was 64.8, higher than the reading of 63.2 the previous month – and its highest mark since January 2007.
“Conditions have been strengthening in all regions and construction sectors for the last several months,” said AIA Chief Economist, Kermit Baker, PhD, Hon. AIA. “Still, we also continue to hear a mix of business conditions in the marketplace as this hesitant recovery continues to unfold.”
Key February ABI highlights:
- Regional averages: Northeast (56.7), Midwest (54.7), West (54.7), South (52.7)
- Sector index breakdown: multi-family residential (60.9), mixed practice (56.9), commercial / industrial (53.3), institutional (50.7)
- Project inquiries index: 64.8.
- The regional and sector categories are calculated as a 3-month moving average, whereas the index and inquiries are monthly numbers.
About the AIA Architecture Billings Index
The Architecture Billings Index (ABI), produced by the AIA Economics & Market Research Group, is a leading economic indicator that provides an approximately nine to twelve month glimpse into the future of nonresidential construction spending activity. The diffusion indexes contained in the full report are derived from a monthly “Work-on-the-Boards” survey that is sent to a panel of AIA member-owned firms. Participants are asked whether their billings increased, decreased, or stayed the same in the month that just ended as compared to the prior month, and the results are then compiled into the ABI. These monthly results are also seasonally adjusted to allow for comparison to prior months. The monthly ABI index scores are centered around 50, with scores above 50 indicating an aggregate increase in billings, and scores below 50 indicating a decline. The regional and sector data are formulated using a three-month moving average. More information on the ABI and the analysis of its relationship to construction activity can be found in the White Paper Architecture Billings as a Leading Indicator of Construction: Analysis of the Relationship Between a Billings Index and Construction Spending on the AIA web site.
About The American Institute of Architects
Founded in 1857, members of the American Institute of Architects consistently work to create more valuable, healthy, secure, and sustainable buildings, neighborhoods, and communities. Through nearly 300 state and local chapters, the AIA advocates for public policies that promote economic vitality and public well being. Members adhere to a code of ethics and conduct to ensure the highest professional standards. The AIA provides members with tools and resources to assist them in their careers and business as well as engaging civic and government leaders, and the public to find solutions to pressing issues facing our communities, institutions, nation and world. Visit www.aia.org.
Related Stories
Legislation | May 4, 2022
Washington is first state to mandate all-electric heat for new large buildings
Washington recently became the first state to require all electric heat for new buildings.
Building Team | May 4, 2022
Mancini Acquires Gertler & Wente Architects, Expanding the Firm's Opportunities in New Market Sectors
National design firm Mancini Duffy - with a 100+-year-old history and tech-forward approach based in New York City - announces the acquisition of Gertler & Wente Architects to further expand its footprint in the healthcare, multi-family residential, restoration, institutional, and religious sectors.
Contractors | May 4, 2022
CFC Construction names Pat Smith president
CFC Construction is proud to announce that Pat Smith has been promoted to President of the Colorado-based general contractor.
Sponsored | Healthcare Facilities | May 3, 2022
Planning for hospital campus access that works for people
This course defines the elements of hospital campus access that are essential to promoting the efficient, stress-free movement of patients, staff, family, and visitors. Campus access elements include signage and wayfinding, parking facilities, transportation demand management, shuttle buses, curb access, valet parking management, roadways, and pedestrian walkways.
Sponsored | BD+C University Course | May 3, 2022
For glass openings, how big is too big?
Advances in glazing materials and glass building systems offer a seemingly unlimited horizon for not only glass performance, but also for the size and extent of these light, transparent forms. Both for enclosures and for indoor environments, novel products and assemblies allow for more glass and less opaque structure—often in places that previously limited their use.
Architects | May 3, 2022
A U.K.-based design firm flaunts industrialized construction as it expands into U.S.
Bryden Wood wants to set up a network for manufactured components for repeatable building types.
Codes and Standards | May 3, 2022
American Institute of Steel Construction updates environmental product declarations
The American Institute of Steel Construction has released updated environmental product declarations (EPDs) “to help designers and building owners design more environmentally friendly buildings and bridges,” according to an AISC news release.
Education Facilities | May 2, 2022
Texas School for the Deaf campus gateway enhances sense of belonging for deaf community
The recently completed Texas School for the Deaf Administration and Welcome Center and Early Learning Center, at the state’s oldest continuously operating public school, was designed to foster a sense of belonging for the deaf community.
Codes and Standards | May 2, 2022
Developer Hines, engineer MKA develop free embodied carbon reduction guide
Real estate management and investment firm Hines has released the Hines Embodied Carbon Reduction Guide. The free guide, produced with Magnusson Klemencic Associates (MKA), is the result of a two-year effort, relying on MKA’s industry-leading knowledge of carbon accounting and involvement in programs such as the Embodied Carbon in Construction Calculator (EC3) Tool.
Building Team | May 2, 2022
HED and VAI announce merger to bring strategic expertise and drive community impact in Dallas
HED (Harley Ellis Devereaux), a leading national architecture and engineering firm, today announced a merger with award-winning, Dallas-based VAI Architects Incorporated (VAI).
