flexiblefullpage
billboard
interstitial1
catfish1
Currently Reading

Architecture Billings Index: new projects inquiry index up significantly from February

Architecture Billings Index: new projects inquiry index up significantly from February


April 20, 2011

Washington, D.C. – April 20, 2011 – The first quarter of 2011 has seen the Architecture Billings Index (ABI) remain virtually unchanged and right at, or slightly above, the break-even level. As a leading economic indicator of construction activity, the ABI reflects the approximate nine to 12 month lag time between architecture billings and construction spending.

The American Institute of Architects (AIA) reported the March ABI score was 50.5, a negligible decrease from a reading of 50.6 the previous month. This score reflects a modest increase in demand for design services (any score above 50 indicates an increase in billings). The new projects inquiry index was 58.7, up significantly from a mark of 56.4 in February.

“Currently, architecture firms are essentially caught swimming upstream in a situation where demand is not falling back into the negative territory, but also not exhibiting the same pace of increases seen at the end of 2010,” said AIA Chief Economist, Kermit Baker, PhD, Hon. AIA. “The range of conditions reported continues to span a very wide spectrum with some firms reporting an improving business environment and even ramping up staffing, while others continue to operate in survival mode. The catalyst for a more robust recovery is likely financing, with stronger growth occurring only when lending institutions begin approving credit for construction projects with much greater regularity.” 

Key March ABI highlights:

Regional averages: Midwest (53.5), Northeast (51.4), West (50.6),  South (49.7)

Sector index breakdown: commercial / industrial (54.7), multi-family residential (50.8),  mixed practice (49.8), institutional (48.0) 

Project inquiries index: 58.7

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. The diffusion indexes contained in the full report are derived from a monthly “Work-on-the-Boards” survey that is sent to a panel of AIA member-owned firms. Participants are asked whether their billings increased, decreased, or stayed the same in the month that just ended as compared to the prior month, and the results are then compiled into the ABI. These monthly results are also seasonally adjusted to allow for comparison to prior months. The monthly ABI index scores are centered around 50, with scores above 50 indicating an aggregate increase in billings, and scores below 50 indicating a decline. The regional and sector data are formulated using a three-month moving average. More information on the ABI and the analysis of its relationship to construction activity can be found in the White Paper Architecture Billings as a Leading Indicator of Construction: Analysis of the Relationship Between a Billings Index and Construction Spending.

About The American Institute of Architects

For over 150 years, members of the American Institute of Architects have worked with each other and their communities to create more valuable, healthy, secure, and sustainable buildings and cityscapes. Members adhere to a code of ethics and professional conduct to ensure the highest standards in professional practice. Embracing their responsibility to serve society, AIA members engage civic and government leaders and the public in helping find needed solutions to pressing issues facing our communities, institutions, nation and world. Visit www.aia.org.

Tags

Related Stories

| Nov 17, 2011

Campus-wide energy-efficiency program aims to deliver $3.5 million in energy and operational savings

Merced College and Honeywell will use the school’s energy usage statistics to develop a course curriculum on sustainability, and raise awareness among students of the positive impact conservation practices contribute to the community.

| Nov 17, 2011

Hollister Construction Services renovating bank in Union City, N.J.

Project is part of a series of ground-up construction and renovation assignments.

| Nov 16, 2011

Project completion of BRAC 132, Office of the Chief Army Reserve Building, Ft. Belvoir, Va.

This fast-tracked, design-build project consists of a three-story, 88,470 sf administrative command building housing approximately 430 employees.

| Nov 16, 2011

Architecture Billings Index moves upward

The Architecture Billings Index climbed nearly three points in October. 

| Nov 16, 2011

CRSI recommends return to inch-pound markings

The intention of this resolution is for all new rollings of reinforcing steel products to be marked with inch-pound bar markings no later than January 1st, 2014. 

| Nov 16, 2011

John Patelski joins Ghafari as executive vice president

As executive vice president, Patelski will be responsible for expanding the firm’s services in new strategic markets.

| Nov 15, 2011

Struggling economy demands construction industry embrace enterprise-wide risk management

In today’s business environment of high supply and limited demand, it has become especially vital for organizations in the construction sector to effectively manage risk.

| Nov 15, 2011

Suffolk Construction breaks ground on the Victor housing development in Boston

Project team to manage construction of $92 million, 377,000 square-foot residential tower.

| Nov 15, 2011

Miller joins Perkins Eastman as regional manager, Middle East and Northern Africa

Miller joins Perkins Eastman with more than 48 years of experience in architecture, design management, and construction administration for planning and infrastructure.

boombox1
boombox2
native1

More In Category




halfpage1

Most Popular Content

  1. 2021 Giants 400 Report
  2. Top 150 Architecture Firms for 2019
  3. 13 projects that represent the future of affordable housing
  4. Sagrada Familia completion date pushed back due to coronavirus
  5. Top 160 Architecture Firms 2021