Even with the uncertainty related to pending tax reform legislation that likely will have a mixed effect on the construction industry, design services at architecture firms remains in high demand.
The American Institute of Architects (AIA) reported the November ABI score was 55.0, up from a score of 51.7 in the previous month. This score reflects an increase in design services provided by U.S. architecture firms (any score above 50 indicates an increase in billings).
“Not only are design billings overall seeing their strongest growth of the year, the strength is reflected in all major regions and construction sectors,” said AIA Chief Economist, Kermit Baker, Hon. AIA, PhD. “The construction industry continues to show surprising momentum heading into 2018.”
The new projects inquiry index was 61.1, up from a reading of 60.2 the previous month, while the new design contracts index rose slightly from 52.8 to 53.2.
Key November ABI highlights:
• Regional averages: West (54.8), Northeast (52.8), South (52.8), Midwest (50.4)
• Sector index breakdown: multifamily residential (53.9), mixed practice (53.6), commercial / industrial (53.3), institutional (52.4)
• Project inquiries index: 61.1
• Design contracts index: 53.2
Related Stories
Market Data | Feb 19, 2019
ABC Construction Backlog Indicator steady in Q4 2018
CBI reached a record high of 9.9 months in the second quarter of 2018 and averaged about 9.1 months throughout all four quarters of last year.
Market Data | Feb 14, 2019
U.S. Green Building Council announces top 10 countries and regions for LEED green building
The list ranks countries and regions in terms of cumulative LEED-certified gross square meters as of December 31, 2018.
Market Data | Feb 13, 2019
Increasingly tech-enabled construction industry powers forward despite volatility
Construction industry momentum to carry through first half of 2019.
Market Data | Feb 4, 2019
U.S. Green Building Council announces annual Top 10 States for LEED Green Building in 2018
Illinois takes the top spot as USGBC defines the next generation of green building with LEED v4.1.
Market Data | Feb 4, 2019
Nonresidential construction spending dips in November
Total nonresidential spending stood at $751.5 billion on a seasonally adjusted annualized rate.
Market Data | Feb 1, 2019
The year-end U.S. hotel construction pipeline continues steady growth trend
Project counts in the early planning stage continue to rise reaching an all-time high of 1,723 projects/199,326 rooms.
Market Data | Feb 1, 2019
Construction spending is projected to increase by more than 11% through 2022
FMI’s annual outlook also expects the industry’s frantic M&A activity to be leavened by caution going forward.
Market Data | Jan 23, 2019
Architecture billings slow, but close 2018 with growing demand
AIA’s Architecture Billings Index (ABI) score for December was 50.4 compared to 54.7 in November.
Market Data | Jan 16, 2019
AIA 2019 Consensus Forecast: Nonresidential construction spending to rise 4.4%
The education, public safety, and office sectors will lead the growth areas this year, but AIA's Kermit Baker offers a cautious outlook for 2020.
Market Data | Dec 19, 2018
Brokers look forward to a commercial real estate market that mirrors 2018’s solid results
Respondents to a recent Transwestern poll expect flat to modest growth for rents and investment in offices, MOBs, and industrial buildings.
