Despite dip, architecture billings remain strong

The Architecture Billings Index (ABI) reflects sustained demand for design services in nearly all nonresidential project types over the nine to twelve month lead time between architecture billings and construction spending.

The American Institute of Architects (AIA) reported the July ABI score was 54.7, down a point from a mark of 55.7 in June. This score still reflects an increase in design services (any score above 50 indicates an increase in billings).

The new projects inquiry index was 63.7, up slightly from a reading of 63.4 the previous month.

“On top of what has been a flurry of design activity in recent months, some architects are reporting a break in the logjam created by clients placing projects on hold for indefinite periods, which bodes well for business conditions in the months ahead,” said AIA Chief Economist Kermit Baker, Hon. AIA, PhD. “There is some uneasiness in the design community that rapid growth in construction costs could escalate beyond development capital and municipal budgets, which could trigger some contraction in the marketplace down the road.”

July ABI highlights:

Regional averages: Midwest (58.2), South (55.7), West (53.8) Northeast (53.5)
Sector index breakdown: institutional (57.3), mixed practice (56.8), commercial/industrial (53.4) multi-family residential (49.8)
Project inquiries index: 63.7
Design contracts index: 54.5

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

GENESIS Marina, an expansive laboratory and office campus in Brisbane, Calif., is the world’s first Total Resource Use and Efficiency (TRUE)-certified construction endeavor. The certification recognizes projects that achieve outstanding levels of resource efficiency through waste reduction, reuse, and recycling practices.

Office Buildings | Mar 21, 2024

Corporate carbon reduction pledges will have big impact on office market

Corporate carbon reduction commitments will have a significant impact on office leasing over the next few years. Businesses that have pledged to reduce their organization’s impact on climate change must ensure their next lease allows them to show material progress on their goals, according to a report by JLL.

Adaptive Reuse | Mar 21, 2024

Massachusetts launches program to spur office-to-residential conversions statewide

Massachusetts Gov. Maura Healey recently launched a program to help cities across the state identify underused office buildings that are best suited for residential conversions.

Image by RAEng_Publications from Pixabay

Legislation | Mar 21, 2024

Bill would mandate solar panels on public buildings in New York City

A recently introduced bill in the New York City Council would mandate solar panel installations on the roofs of all city-owned buildings. The legislation would require 100 MW of solar photovoltaic systems be installed on public buildings by the end of 2025.

Office Buildings | Mar 21, 2024

BOMA updates floor measurement standard for office buildings

The Building Owners and Managers Association (BOMA) International has released its latest floor measurement standard for office buildings, BOMA 2024 for Office Buildings – ANSI/BOMA Z65.1-2024.