Buoyed by increasing levels of demand across all project types, the Architecture Billings Index (ABI) was positive in June for the fifth consecutive month.
As a leading economic indicator of construction activity, the ABI reflects the approximate nine to 12 month lead time between architecture billings and construction spending. The American Institute of Architects (AIA) reported the June ABI score was 52.6, down from the mark of 53.1 in the previous month. This score still 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 60.1 the previous month.
“Demand for residential projects has surged this year, greatly exceeding the pace set in 2015. This suggests strong future growth for housing in the coming year,” said AIA Chief Economist, Kermit Baker, Hon. AIA, PhD. “While we expect to see momentum continue for the overall design and construction industry in the months ahead, the fact that the value of design contracts dipped into negative territory in June for the first time in more than two years is something of a concern.”
Key June ABI highlights:
- Regional averages: South (55.5), West (54.1), Northeast (51.8), Midwest (48.2)
- Sector index breakdown: multi-family residential (57.9), institutional (52.7), mixed practice (51.0), commercial / industrial (50.3)
- Project inquiries index: 58.6
- Design contracts index: 49.7
- The regional and sector categories are calculated as a 3-month moving average, whereas the national index, design contracts and inquiries are monthly numbers.
Related Stories
| Nov 3, 2014
Cairo's ultra-green mixed-use development will be topped with flowing solar canopy
The solar canopy will shade green rooftop terraces and sky villas atop the nine-story structure.
| Nov 2, 2014
Top 10 LEED lessons learned from a green building veteran
M+W Group's David Gibney offers his top lessons learned from coordinating dozens of large LEED projects during the past 13 years.
| Oct 31, 2014
Dubai plans world’s next tallest towers
Emaar Properties has unveiled plans for a new project containing two towers that will top the charts in height, making them the world’s tallest towers once completed.
| Oct 30, 2014
CannonDesign releases guide for specifying flooring in healthcare settings
The new report, "Flooring Applications in Healthcare Settings," compares and contrasts different flooring types in the context of parameters such as health and safety impact, design and operational issues, environmental considerations, economics, and product options.
| Oct 30, 2014
Perkins Eastman and Lee, Burkhart, Liu to merge practices
The merger will significantly build upon the established practices—particularly healthcare—of both firms and diversify their combined expertise, particularly on the West Coast.
| Oct 29, 2014
Better guidance for appraising green buildings is steadily emerging
The Appraisal Foundation is striving to improve appraisers’ understanding of green valuation.
| Oct 29, 2014
Increasing number of design projects meeting carbon reduction targets, says AIA report
Of the 2,464 projects accounted for in AIA's 2030 Commitment 2013 Progress Report, 401 are meeting the 60% carbon reduction target—a 200% increase from 2012.
Sponsored | | Oct 29, 2014
What’s the difference between your building’s coating chalking and fading?
While the reasons for chalk and fade are different, both occurrences are something to watch for. SPONSORED CONTENT
Sponsored | | Oct 29, 2014
Historic Washington elementary school incorporates modular design
More and more architects and designers are leveraging modern modular building techniques for expansion projects planned on historical sites. SPONSORED CONTENT
| Oct 29, 2014
Diller Scofidio + Renfro selected to design Olympic Museum in Colorado Springs
The museum is slated for an early 2018 completion, and will include a hall of fame, theater, retail space, and a 20,000-sf hall that will showcase the history of the Olympics and Paralympics.
