Decline in architectural billings slides into second month

by Jonathan McGaha | December 19, 2013 12:00 am

The Architecture Billings Index (ABI) dropped for the second consecutive month in November. The American Institute of Architects (AIA)[1] 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.

Source URL: https://www.metalarchitecture.com/news/industry-news/decline-in-architectural-billings-slides-into-second-month/

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