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
| Oct 4, 2012
Foundation tightens HMC Architects bond with local communities
Founded in 2009 with an initial endowment of $1.9 million, HMC’s nonprofit Designing Futures Foundation (DFF) has donated about $230,000 in its three years of existence, including $105,000 in scholarships to California students. The grants help promising high schoolers with an interest in architecture, design, engineering, education, or healthcare pay for expenses like test preparation services, computers, and college entrance exam fees and tuition. The scholarships can be extended for up to five years of college.
| Oct 4, 2012
Gilbane publishes Fall 2012 construction industry economic report
Report outlines fluctuation in construction spending; predicts continued movement toward recovery.
| Oct 3, 2012
Fifth public comment period now open for update to USGBC's LEED Green Building Program
LEED v4 drafts and the public comment tool are now available on the newly re-launched, re-envisioned USGBC.org website.
| Oct 2, 2012
Mirvish and Gehry unveil conceptual design to transform Toronto’s entertainment district
Reimagining of King Street Entertainment District supports Toronto’s cultural corridor.
| Oct 2, 2012
Dow Business Services Center building named 2012 “America’s Best Buildings of the Year” winner
Building constructed with air sealing and insulation products from Dow Building Solutions.
| Oct 2, 2012
Bernards working on project at L.A. White Memorial Medical Center
The new facility is a $15-million, 41,000-sf concrete structure which includes three stories of medical office space atop a three-level parking garage.
| Oct 1, 2012
Tyco completes separation process, now largest pure-play fire protection and security business
Tyco Integrated Security focused on delivering security solutions to commercial businesses.
| Sep 28, 2012
Seattle is home to first LEED-certified modular radiation center
By using modular construction and strategic site design, RAD Medical Systems built the first radiation center to receive LEED certification.
| Sep 26, 2012
EDITORIAL OPPORTUNITY – BD+C Greenbuild 2012 Issue
Your firm is invited to contribute to this special issue, which will be distributed at Greenbuild San Francisco, Nov. 14-16, 2012.
| Sep 24, 2012
Reed Construction completes Lafarge headquarters in Chicago
Reed Construction was contracted to complete the full third floor build-out which included the construction of new open area work space, private offices, four conference rooms with videoconferencing capabilities and an executive conference boardroom.
