Continuing the positive momentum of a nearly three point bump in October, the Architecture Billings Index (ABI) reached its first positive mark since August. 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 (AIA) reported the November ABI score was 52.0, following a score of 49.4 in October. This score reflects an overall increase in demand for design services (any score above 50 indicates an increase in billings). The new projects inquiry index was 65.0, up dramatically from a reading of 57.3 the previous month.
"This is a heartening development for the design and construction industry that only a few years ago accounted for nearly ten percent of overall GDP but has fallen to slightly less than six percent," said AIA Chief Economist, Kermit Baker, PhD, Hon. AIA. "Hopefully, this uptick in billings is a sign that a recovery phase is in the works. However, given the volatility that we've seen nationally and internationally recently, we'll need to see several more months of positive readings before we'll have much confidence that the U.S. construction recession is ending."
- Regional averages: South (54.4), Midwest (50.9), Northeast (49.1), West (45.6)
- Sector index breakdown: multi-family residential (55.8), commercial / industrial (53.9),
- Institutional (48.9), mixed practice (41.6)
- Project inquiries index: 65.0
Related Stories
Architects | Dec 4, 2017
Architects to Congress: ‘You're making a terrible mistake’
House and Senate gut historic building credits and penalize architecture firms.
Architects | Dec 1, 2017
The third wave of urban waterfront development
The nature of waterfront redevelopment has been evolutionary, in the truest sense of the word.
Multifamily Housing | Nov 29, 2017
First Porsche, now Aston Martin: Sports car maker co-develops Miami condo tower *UPDATED
The 391-unit Aston Martin Residences will feature seven penthouses and a duplex penthouse, all with private pools and terraces overlooking Biscayne Bay.
Industry Research | Nov 28, 2017
2018 outlook: Economists point to slowdown, AEC professionals say ‘no way’
Multifamily housing and senior living developments head the list of the hottest sectors heading into 2018, according a survey of 356 AEC professionals.
Multifamily Housing | Nov 28, 2017
Elementary school, daycare campus will serve Toronto’s skyrise neighborhood
The $65 million Canoe Landing Campus brings much needed social infrastructure to the 20,000 residents of Toronto’s CityPlace towers.
Architects | Nov 28, 2017
Adding value through integrated technology requires a human touch
To help strike that delicate balance between the human and the high-tech, we must first have an in-depth understanding of our client’s needs as well as a manufacturer’s capabilities.
Architects | Nov 17, 2017
How to leverage historic tax credits
About 90% of the time prospective clients are not aware of historic tax credits.
Sponsored | Architects | Nov 16, 2017
Growing your AEC firm through an exceptional client experience
Many small AEC firms don’t feel they have the time to focus and create clear marketing messages.
Multifamily Housing | Nov 15, 2017
6 noteworthy multifamily developments: artists housing, tech lofts, resort-style senior living
These recently completed projects represent emerging trends and design innovations in the multifamily sector.
Architects | Nov 9, 2017
AECOM and Van Alen Institute announce four Urban SOS® 2017 finalists with bold ideas for creating more equitable cities
Multidisciplinary student teams were challenged to redefine the traditional “hour city” radius, providing broader access to opportunity.
