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.
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.
Related Stories
| Jul 9, 2014
Dragon-inspired hotel conveys Vietnamese hospitality [2014 Building Team Awards]
An international Building Team unites to create Vietnam’s first JW Marriott luxury property.
| Jul 9, 2014
Harvard Business School to build large-scale conference center
Expected to open in 2018, the facility will combine the elements of a large-scale conference center, a performance space, and an intimate community forum. The new building will be designed by Boston-based William Rawn and Associates.
| Jul 9, 2014
Top U.S. cities for design professionals
Though New York and Los Angeles are often seen as the sole hubs for design jobs, other design epicenters are scattered between the coasts.
| Jul 9, 2014
The one misstep that could be slowing your company’s growth
Change. It’s inevitable. And success for any professional may very well depend on how well we adapt to it. SPONSORED CONTENT
| Jul 9, 2014
First Look: SOM's design for All Aboard Florida Fort Lauderdale rail station
The lightweight and luminous design "responds to its setting and creates a striking infrastructural icon for the city," said SOM Design Partner Roger Duffy.
| Jul 8, 2014
Fast-track naval hospital sparks sea change in project delivery [2014 Building Team Awards]
Through advanced coordination methods and an experimental contract method, the Building Team for Camp Pendleton’s new hospital campus sets a new standard for project delivery.
| Jul 8, 2014
Does Zaha Hadid’s Tokyo Olympic Stadium have a design flaw?
After being criticized for the cost and size of her stadium design for the 2020 Olympics in Tokyo, a Japanese architect points out a major design flaw in the stadium that may endanger the spectators.
| Jul 8, 2014
Frank Lloyd Wright's posthumous gas station opens in Buffalo
Eighty-seven years after Frank Lloyd Wright designed an ornamental gas station for the city of Buffalo, the structure has been built and opened to the public—inside an auto museum.
| Jul 8, 2014
Lost in the Museum: Bjarke Ingels' maze will make you look up and around
The maze, located in the National Building Museum, is a precursor to an exhibit showcasing some of BIG's projects. To navigate the maze, people must look up.
| Jul 7, 2014
5 factors that can affect thermal stress break risk of insulated glass units
The glass type, glass coating, shading patterns, vents, and framing system can impact an IGU’s risk for a thermal break.