Narrow by location

Architecture Firms End Second Quarter on a Strong Note

Economic

For the fifth consecutive month, architecture firms recorded increasing demand for design services as reflected in the June Architecture Billings Index (ABI). As a leading economic indicator of construction activity, the ABI reflects the approximate nine to twelve month lead time between architecture billings and construction spending. The American Institute of Architects (AIA) reported the June ABI score was 54.2, up from a score of 53.0 in the previous month. This score reflects an increase in design services (any score above 50 indicates an increase in billings). The new projects inquiry index was 58.6, down from a reading of 62.4 the previous month, while the new design contracts index decreased from 54.8 to 53.7.

View this press release here: https://www.aia.org/press-releases/139891-architecture-firms-end-second-quarter-on-a-

“So far this year, new activity coming into architecture firms has generally exceeded their ability to complete ongoing projects,” said AIA Chief Economist, Kermit Baker, Hon. AIA, PhD. “Now, firms seem to be ramping up enough to manage these growing workloads.”

Key June ABI highlights:

•           Regional averages: South (54.8), West (53.1), Midwest (51.9), Northeast (51.5)

•           Sector index breakdown: multi-family residential (57.1), mixed practice (53.8), institutional (52.6), commercial / industrial (52.1)

•           Project inquiries index: 58.6

•           Design contracts index: 53.7

The regional and sector categories are calculated as a 3-month moving average, whereas the national index, design contracts and inquiries are monthly numbers.

 

ABC’s Construction Backlog Indicator Hits a New High in Second Quarter of 2018

Associated Builders and Contractors reports that its Construction Backlog Indicator expanded to a record 9.9 months during the... »

Important Fiscal Year-End (and Beginning) Considerations for Government Contractors

By Aron C. Beezley, Bradley While many federal contractors operate on a fiscal year that coincides with the... »

July Architecture Firm Billings Remain Positive Despite Growth Slowing

Architecture firm billings growth slowed again in July but remained positive overall for the tenth consecutive month, according... »

Projections Reveal Nonresidential Construction Spending to Grow

Construction spending is projected to grow through 2019, according to a new consensus forecast from The American Institute... »

LEAVE YOUR COMMENT

Your email address will not be published. Required fields are marked *