After starting out the year on a positive note, there was another minor increase in the Architecture Billings Index (ABI) last 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 American Institute of Architects (AIA) reported that the February ABI score was 50.7, up slightly from a mark of 50.4 in January.
This score reflects an increase in design services (any score above 50 indicates an increase in billings). The new projects inquiry index was 56.8, down from the reading of 58.5 the previous month.
“The unusually severe weather conditions in many parts of the country have obviously held back both design and construction activity,” said AIA Chief Economist Kermit Baker, Hon. AIA, PhD. “The March and April readings will likely be a better indication of the underlying health of the design and construction markets. We are hearing reports of projects that had been previously shelved for extended periods of time coming back online as the economy improves.”
Key February ABI highlights:
- Regional averages: South (52.8),West (50.5), Northeast (48.3), Midwest (47.6)
- Sector index breakdown: multi-family residential (52.5), commercial / industrial (51.9), institutional (49.6), mixed practice (46.6)
- Project inquiries index: 56.8
The regional and sector categories are calculated as a 3-month moving average, whereas the national index and inquiries are monthly numbers.
Related Stories
Architects | May 8, 2018
WeWork names BIG’s Ingels as its Chief Architect
He’ll be plenty busy working with a company that has aggressive growth ambitions.
Architects | May 8, 2018
Illinois Office of Tourism unveils new Frank Lloyd Wright Trail
The trail stretches from Rockford to Springfield.
Architects | May 3, 2018
Designing innovative solutions for chronic homelessness
What’s stopping us from creating more Permanent Supportive Housing?
Architects | Apr 27, 2018
4 reasons to pursue speaking engagements
We found speaking engagements were among the top ten marketing techniques that AEC firms employ.
Office Buildings | Apr 19, 2018
From fitness to bowling alleys: How commercial office buildings are differentiating themselves through amenities
Here are five ways that amenities can help developers and building owners attract and secure tenants by appealing to their inhabitants.
Architects | Apr 19, 2018
Perkins Eastman and Dougherty announce intent to merge
Combined practice will create expanded capabilities for K-12, higher education projects in California.
Architects | Apr 17, 2018
Cannon Design expects merger with gkkworks will help streamline its deliveries
The combined firm reinforces its presence in the western U.S.
Architects | Apr 16, 2018
Is the AEC industry ready to shake off its retrograde image?
Technology has been and always will be perceived as a source for wonder and worry.
Architects | Apr 10, 2018
HOK names a physician as its new Chief Medical Officer
Dr. Andrew Ibrahim will collaborate with the firm’s medical planning and design teams.
Architects | Apr 5, 2018
AIA grants $100,000 to four Upjohn Research Initiative projects
The purpose of the grant is to provide base funds for applied research projects that will advance the design profession’s knowledge and practice.