The Architecture Billings Index (ABI) dropped for the second consecutive month in November. The American Institute of Architects (AIA) reported the November ABI score was 49.8, down from 51.6 in October. This score reflects an increase in design services; any score above 50 indicates a billings increase.
The new projects inquiry index was 57.8, down from the reading of 61.5 in October.
The ABI reflects the approximate nine- to 12-month lead time between architecture billings and construction spending.
K ermit Baker, Hon. AIA, Ph.D., chief economist at AIA, says architecture firms report varied views of business conditions across the country, and this slight dip is likely a minor lull in the progress of current design projects.
“But there is a continued uneasiness in the marketplace as businesses attempt to determine the future direction of demand for commercial, industrial, and institutional buildings,” Baker says.
November ABI highlights:
Regional averages: Midwest (51.6), Northeast (47.5), South (52.0), West (50.2)
Sector index breakdown: multifamily residential (55.2), commercial/industrial (48.6), mixed practice (53.1), institutional (47.7)
Project inquiries index: 57.8
Regional and sector categories are calculated as a three-month moving average; the index and inquiries are monthly calculations.
