Following a nine-month stretch of positive billings, the Architecture Billings Index (ABI) showed no increase in design activity in January.
The American Institute of Architects reported the January ABI score was 49.9, down from a mark of 52.6 in December. This score reflects a very modest decrease in design services (any score above 50 indicates an increase in billings). The new projects inquiry index was 58.7, up from the reading of 51.3the previous month.
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.
“This easing in demand for design services is a bit of a surprise given the overall strength of the market over the past nine months,” said AIA Chief Economist Kermit Baker, Hon. AIA, PhD. “Likely some of this can be attributed to severe weather conditions in January. We will have a better sense if there is a reason for more serious concern over the next couple of months.”
* Every January the AIA research department updates the seasonal factors used to calculate the ABI, resulting in a revision of recent ABI values.
Key December ABI highlights:
- Regional averages: South (54.8), West (49.3), Midwest (50.8), Northeast (46.0)
- Sector index breakdown: multi-family residential (51.4), institutional (53.0), commercial / industrial (50.9), mixed practice (46.9)
- Project inquiries index: 58.7
- Design contracts index: 51.3
The regional and sector categories are calculated as a 3-month moving average, whereas the national index, design contracts and inquiries are monthly numbers.
About the AIA Architecture Billings Index
The Architecture Billings Index (ABI), produced by the AIA Economics & Market Research Group, is a leading economic indicator that provides an approximately nine to twelve month glimpse into the future of nonresidential construction spending activity. More at: http://www.aia.org/practicing/economics/AIAS076265
Related Stories
| Mar 4, 2014
How EIFS came to America
Design experts from Hoffmann Architects offer a brief history of exterior insulation and finish systems in the U.S.
| Mar 4, 2014
If there’s no ‘STEM crisis,’ why build more STEM schools?
Before you get your shorts in a knot, I have nothing against science, technology, engineering, or even mathematics; to the contrary, I love all four “STEM” disciplines (I’m lying about the math). But I question whether we need to be building K-12 schools that overly emphasize or are totally devoted to STEM.
| Mar 3, 2014
Negotiate your way to success
There are few business skills as important as negotiation. Many successful businesspeople pride themselves on their ability to turn a deal in their favor. Here are a few key negotiation principles to ensure you’re generally getting a good deal.
| Mar 3, 2014
5 ways to gain clients you actually like
Gaining more clients is one thing. Gaining more clients that you actually like is something else entirely. Here are some tips to perfect the art of attracting and retaining clients that you enjoy working with.
| Mar 3, 2014
Engineering and construction CEOs are cautiously optimistic about the global economy, says PwC
Firm leaders remain leery about the availability of skilled workers, the state of government debt and deficits, and rising material prices, according to PwC’s 2014 Global CEO Survey.
| Mar 1, 2014
Dramatic fractal roof highlights SOM's new Mumbai airport terminal [slideshow]
The terminal merges new technology and traditional regional architecture, notably in the fractal roof canopy that runs throughout the terminal.
| Feb 28, 2014
Six finalists selected in design competition for Canadian Holocaust monument
David Adjaye and Daniel Libeskind are among the finalists for the National Holocaust Monument, planned near the Canadian War Museum in Ottawa.
| Feb 27, 2014
Gensler reveals 44 design trends for the next decade
The 82-page report covers dozens of emerging trends in healthcare, commercial office, hospitality, tall buildings, and more.
| Feb 27, 2014
Target converts former prison dump into latest big-box store
Target's new San Rafael, Calif., location was built on the site of the former San Quentin prison dump.
| Feb 27, 2014
Open or private offices? It depends on the business plan
Open layouts are grabbing headlines as a hallmark of the new workplace—think the Google campus or Facebook's headquarters. And for smaller-scale operations, open designs are often lauded for being less expensive than private office plans. But does that mean all offices should have an open layout?
