After five months of positive readings, the Architecture Billings Index (ABI) has fallen into negative terrain. 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 April ABI score was 48.4, following a mark of 50.4 in March. This score reflects a decrease in demand for design services (any score above 50 indicates an increase in billings). The new projects inquiry index was 54.4, down from mark of 56.6 the previous month.
“Considering the continued volatility in the overall economy, this decline in demand for design services isn’t terribly surprising,” said AIA Chief Economist, Kermit Baker, PhD, Hon. AIA. “Also, favorable conditions during the winter months may have accelerated design billings, producing a pause in projects that have moved ahead faster than expected.”
Key April ABI highlights:
- Regional averages: Northeast (51.0), Midwest (50.1), South (49.0), West (48.0)
- Sector index breakdown: commercial / industrial (53.8), multi-family residential (50.5), institutional (46.6), mixed practice (45.0)
- Project inquiries index: 54.4
The regional and sector categories are calculated as a three-month moving average, whereas the index and inquiries are monthly numbers. +
Related Stories
| Aug 19, 2014
Goettsch Partners unveils design for mega mixed-use development in Shenzhen [slideshow]
The overall design concept is of a complex of textured buildings that would differentiate from the surrounding blue-glass buildings of Shenzhen.
| Aug 19, 2014
HOK to acquire 360 Architecture
Expected to be finalized by the end of October, the acquisition of 360 Architecture will provide immediate benefits to both firms’ clients worldwide as HOK re-enters the sports and entertainment market.
| Aug 19, 2014
A designer's epiphany: 'Let's stop talking and make something'
Making things is important because it reveals gaps in thought, sheds light on the fundamental assumptions that can kill ideas, and forces us to push toward solutions that actually work, writes HDR's David Grandy.
| Aug 19, 2014
Construction boom lures new class of lenders in Nashville, says JLL
In the coming months, a gleaming S-shaped tower will join Nashville's burgeoning skyline. The new tower is just one example of a project financed not with conventional construction loans but with a unique blend of equity and debt.
| Aug 18, 2014
Perkins+Will expands planning practice with strategic focus on underserved U.S. communities
The broadened focus is resulting in comprehensive, long-term plans that will guide new growth in places like Buffalo, N.Y., Kingston, R.I., and Brooklyn, N.Y.
| Aug 18, 2014
SPARK’s newly unveiled mixed-use development references China's flowing hillscape
Architecture firm SPARK recently finished a design for a new development in Shenzhen. The 770,700 square-foot mixed-use structure's design mimics the hilly landscape of the site's locale.
| Aug 18, 2014
Seaside luxury: Arquitectonica, Melo Group introduce Aria on the Bay condo tower in Miami
Melo Group has launched sales for Aria on the Bay, its new 647-unit luxury condominium in Miami. The bayfront condo will overlook Margaret Pace Park, Biscayne Bay and the Miami Beach skyline.
Sponsored | | Aug 16, 2014
Fire-rated framing system makes the grade at Johnson & Wales University Center
The precision engineering of TGP’s Fireframes Aluminum Series creates narrow profiles and crisp sightlines at Johnson & Wales University Center for Physician Assistant Studies
| Aug 16, 2014
Decoupling the professional services firm
Business consultant Tim Williams authored a recent LinkedIn post that highlights the emerging trend among professional services firms toward “decoupling,” or consciously separating the high-value services that are scarce from the low-value services that are plentiful. SPONSORED CONTENT
| Aug 16, 2014
The science of learning: Designing the STEM learning facilities of the future
New technology and changing pedagogies are influencing how to best teach a generation of learners who have never known a world without smartphones or tablets, writes HOK's Kimberly Robidoux.