The Architecture Billings Index (ABI) returned to positive territory after a slight dip in August, and has seen growth in six of the nine months of 2015. As an economic indicator of construction activity, the ABI reflects the approximate nine to 12 month lead time between architecture billings and construction spending. The American Institute of Architects (AIA) reported the September ABI score was 53.7, up from a mark of 49.1 in August. This score reflects an increase in design services (any score above 50 indicates an increase in billings). The new projects inquiry index was 61.0, down from a reading of 61.8 the previous month.
“Aside from uneven demand for design services in the Northeast, all regions are project sectors are in good shape,” said AIA Chief Economist Kermit Baker, Hon. AIA, PhD. “Areas of concern are shifting to supply issues for the industry, including volatility in building materials costs, a lack of a deep enough talent pool to keep up with demand, as well as a lack of contractors to execute design work.”
Key September ABI highlights:
- Regional averages: South (54.5), Midwest (54.2), West (51.7), Northeast (43.7)
- Sector index breakdown: mixed practice (52.6), institutional (51.5), commercial / industrial (50.9) multi-family residential (49.5)
- Project inquiries index: 61.0
- Design contracts index: 53.2
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
| Sep 4, 2014
Ranked: Top courthouse sector AEC firms [2014 Giants 300 Report]
Fentress Architects, Tutor Perini, and AECOM top BD+C's rankings of design and construction firms with the most revenue from courthouse facilities, as reported in the 2014 Giants 300 Report.
| Sep 4, 2014
Hospital CEOs, architects sound off on state of healthcare design
Healthcare construction will continue to feel the effects of radical changes in the delivery of care, according to healthcare leaders attending the annual Summer Leadership Summit of the American College of Healthcare Architects and the AIA Academy of Architecture for Health.
| Sep 4, 2014
Best of education design: 11 projects win AIA CAE architecture awards [slideshow]
The CAE Design Excellence Award honors educational facilities that the jury believes should serve as an example of a superb place in which to learn. Projects range from a design school in Maryland to an elementary school in Washington.
Sponsored | | Sep 4, 2014
Learning by design: Steel curtain wall system blends two school campuses
In this the new facility, middle school and high school classroom wings flank either side of the auditorium and media center. A sleek, glass-and-steel curtain wall joins them together, creating an efficient, shared space. SPONSORED CONTENT
| Sep 4, 2014
Strong industry growth could be slowed by skilled labor shortage, says Gilbane report
While construction spending for 2014 will finish the year 5.5% higher than 2013 and the unemployment rate in construction is down to 7.5%, the industry has been losing workers for more than five years, according to a new Gilbane report.
| Sep 3, 2014
Ranked: Top local government sector AEC firms [2014 Giants 300 Report]
STV, HOK, and Turner top BD+C's rankings of the nation's largest local government design and construction firms, as reported in the 2014 Giants 300 Report.
| Sep 3, 2014
WSP to acquire Parsons Brinckerhoff in $1.35 billion deal
The deal, which has been approved by the boards of WSP and Balfour Beatty, has an enterprise value of $1.243 billion, plus another $110 million in cash retained by PB.
| Sep 3, 2014
The coming architect/engineer brain drain, or 'Curse of the Baby Boomers'
Architecture, engineering, and (presumably) construction firms will face difficulties with management succession, as tens of thousands of Baby Boomers leave the AEC industry. Who will fill the knowledge gap?
| Sep 3, 2014
New designation launched to streamline LEED review process
The LEED Proven Provider designation is designed to minimize the need for additional work during the project review process.
| Sep 2, 2014
Ranked: Top green building sector AEC firms [2014 Giants 300 Report]
AECOM, Gensler, and Turner top BD+C's rankings of the nation's largest green design and construction firms.