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.

Cannon Design, an internationally ranked architectural, engineering and planning firm, is pleased to announce Richard Smith has joined the firm as a Principal. Smith joins the leadership team for Cannon Design’s Science + Technology (S&T) practice and will focus on developing strategies for immediate and long-term growth.

| Jun 13, 2013

Winfrey hired as Health and S&T studio head for SmithGroupJJR Dallas

SmithGroupJJR, one of the nation’s largest architecture, engineering and planning firms, has hired David Winfrey, AIA, LEED AP BD+C, as leader of its Health and Science & Technology Studio at its Dallas, Texas office.

| Jun 13, 2013

WorkingBuildings acquires Specialty Operations Solutions

The WorkingBuildings Companies, a leading provider of comprehensive Owner-based solutions for the built environment, announces the acquisition of Specialty Operations Solutions (SOS), a national provider of research and laboratory services.

| Jun 13, 2013

Health Product Declaration Collaborative names Knott as Executive Director

John L. Knott Jr. has been named as the Health Product Declaration Collaborative’s (www.hpdcollaborative.org) first Executive Director following a national search. The Health Product Declaration Collaborative (HPDC) is a customer-led standards-setting organization committed to the continuous improvement of the building industry’s environmental and health performance, through transparency and innovation in the building product supply chain.

| Jun 13, 2013

AIA partners with industry groups to launch $30,000 'Designing Recovery' design competition

The program will award a total of $30,000 to three winning designs, divided equally between three locations: Joplin, Mo., New Orleans, and New York.

| Jun 12, 2013

More than 90% of New York City schools have code violations

More than 90% of New York City schools have at least one outstanding building code violation. Loose wires, stuck doors and inadequate ventilation are just some of the problems.