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Industry News

ABI higher, but still low (April 2009)

The American Institute of Architects, Washington, D.C., reported that the February Architecture Billings Index was up two points after a historically low score in January. The February ABI rating was 35.3, up from the 33.3 mark in January, but still pointing to a general lack of demand for design services (any score above 50 indicates an increase in billings). “Despite a higher score than last month, we are likely to see light demand for new construction projects through much of the year,” said AIA Chief Economist Kermit Baker, PhD, Hon. AIA. “There is hope that the stimulus bill will result in more project activity, but that is also dependent on banks easing lending standards in the months ahead. Still, the improvement in the inquiries index does provide hope that some stalled projects will resurface in the near future.” Key February ABI highlights:
• Regional averages: West 36.4, South 35.5, Midwest 35.0, Northeast 32.3
• Sector index breakdown: mixed practice 40.1, institutional 36.8, multifamily residential 33.3, commercial/industrial 32.0
• Project inquiries index: 49.5