Following the first positive score in four months, the Architecture Billings Index (ABI) reversed direction again in September. 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 September ABI score was 46.9, following a score of 51.4 in August. This score reflects a sharp decrease in demand for design services (any score above 50 indicates an increase in billings). The new projects inquiry index was 54.3, down from a reading of 56.9 the previous month.
“It appears that the positive conditions seen last month were more of an aberration,” said AIA Chief Economist, Kermit Baker, PhD, Hon. AIA. “The economy is weak enough at present that design activity is bouncing around more than usual; one strong month can be followed by a weak one. The economy needs to be stronger to generate sustained growth in design activity.”
Key September ABI highlights:
- Regional averages: Midwest (51.0), Northeast (50.8), South (47.3), West (46.7)
- Sector index breakdown: commercial / industrial (52.4), mixed practice (50.0), institutional (48.0), multi-family residential (46.4)
- Project inquiries index: 54.3
The regional and sector categories are calculated as a 3-month moving average, whereas the index and inquiries are monthly numbers. BD+C
Related Stories
| Dec 21, 2012
ABI gains for fourth straight month
Positive business conditions for all building sectors.
| Dec 17, 2012
CSM Group names recipient of the CSM Architect Fellowship Grant
With the money from the grant, Harlow has chosen to use it entirely for the Chapter of American Institute of Architecture Student’s Freedom by Design Program at Andrews University.
| Dec 9, 2012
AIA: Laboratory design, building for breakthrough science
To earn 1.0 AIA/CES learning units, study the article carefully and take the exam.
| Dec 9, 2012
The owner’s perspective: high-rise buildings
Douglas Durst on the practicalities of development: “You must think about a building from the inside out.”
| Dec 9, 2012
Greenzone pop quiz
Greenbuild attendees share their thoughts with BD+C on the SAGE modular classroom.
| Dec 9, 2012
Modular classroom building makes the grade
SAGE modular classroom opens eyes, minds at Greenbuild 2012.
| Dec 9, 2012
14 great solutions
Welcome to the third installment of Building Design+Construction’s “Great Solutions,” highlighting 14 innovative technologies and products that you can put to work in your next project.
| Dec 9, 2012
AEC professionals cautiously optimistic about commercial construction in ’13
Most economists say the U.S. is slowly emerging from the Great Recession, a view that was confirmed to some extent by an exclusive survey of 498 BD+C subscribers whose views we sought on the commercial construction industry’s outlook on business prospects for 2013.
