Architecture Billings Index shows increase in design activity

On the heels of consecutive months of decreasing demand for design services, the Architecture Billings Index (ABI) has returned to positive territory.

The American Institute of Architects (AIA) reported that the May ABI score was 52.6, up sharply from a mark of 49.6 in April. This score reflects an increase in design activity (any score above 50 indicates an increase in billings). The new projects inquiry index was 63.2, up from the reading of 59.1 the 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.

The AIA has added a new indicator measuring the trends in new design contracts at architecture firms that can provide a strong signal of the direction of future architecture billings. The score for design contracts in May was 52.5.

“Volatility continues to be the watchword in the design and construction markets, with firms in some regions of the country, and serving some sectors of the industry, reporting strong growth, while others are indicating continued weakness,” said AIA Chief Economist Kermit Baker, Hon. AIA, PhD. “However, overall, it appears that activity has recovered from the winter slump, and design professions should see more positive than negative numbers in the coming months.”

Key May ABI highlights:

Regional averages: South (58.1), Midwest (51.3), Northeast (47.6) , West (46.9)
Sector index breakdown: multi-family residential (58.2), commercial / industrial (53.6), mixed practice (50.4), institutional (47.3)
Project inquiries index: 63.2
Design contracts index: 52.5

The regional and sector categories are calculated as a 3-month moving average, whereas the national index, design contracts and inquiries are monthly numbers.

LPA Architects conducted a post-occupancy evaluation, or POE, of the eSTEM Academy, a new high school specializing in health/medical and design/engineering Career Technical Education, in Eastvale, Calif. The POE helped LPA, the Riverside County Office of Education, and the Corona-Norco Unified School District gain a better understanding of which design innovations—such as movable walls, flex furniture, collaborative spaces, indoor-outdoor activity areas, and a student union—enhanced the education program, and how well students and teachers used these innovations.

Interior designer Creative License International fashioned this community room for P83, a 250-unit rental community in Peoria, Ariz. 2021 Multifamily Amenities study

Multifamily Housing | Jul 7, 2021

Make sure to get your multifamily amenities mix right

One of the hardest decisions multifamily developers and their design teams have to make is what mix of amenities they’re going to put into each project. A lot of squiggly factors go into that decision: the type of community, the geographic market, local recreation preferences, climate/weather conditions, physical parameters, and of course the budget. The permutations are mind-boggling.

Industrial Facilities | Jul 2, 2021

A new approach to cold storage buildings

Cameron Trefry and Kate Lyle of Ware Malcomb talk about their firm's cold storage building prototype that is serving a market that is rapidly expanding across the supply chain.

A post-pandemic ‘new normal’ for apartments, Grimm + Parker, Building Design+Construction 2021 Exercise area

Multifamily Housing | Jun 30, 2021

A post-pandemic ‘new normal’ for apartment buildings

Grimm + Parker’s vision foresees buildings with rentable offices and refrigerated package storage.

Architects | Jun 30, 2021

Perkins Eastman joins forces with MEIS

MEIS’ work on stadiums and entertainment centers spans the globe with state-of-the-art designs in the U.S., Europe, Asia, and the Middle East.

Architects | Jun 25, 2021

AIA announces Small Project Award recipients

Now in its 18th year, the AIA Small Project Awards program recognizes small-project practitioners for the high quality of their work.

Work in existing buildings will prevail in 2021

Architects | Jun 24, 2021

Post-pandemic, architects need to advocate harder for project sustainability

An AIA-Oldcastle report looks closer at the coronavirus’s impact on design and construction

Resiliency | Jun 24, 2021

Oceanographer John Englander talks resiliency and buildings [new on HorizonTV]

New on HorizonTV, oceanographer John Englander discusses his latest book, which warns that, regardless of resilience efforts, sea levels will rise by meters in the coming decades. Adaptation, he says, is the key to future building design and construction.