Architecture firms are still facing headwinds as billings fell again in March, with the AIA/Deltek Architecture Billings Index (ABI) posting a score of 44.1—well below the growth threshold of 50. This marks yet another month in a long downturn that began after the post-pandemic surge ended in September 2022. Since then, billings have dropped in 27 of the past 30 months.
New project inquiries and design contracts are also on a steady decline. March marked the second month of fewer project inquiries and the 13th consecutive month of falling new design contracts—an unprecedented streak.
“Clients remain cautious due to uncertainty around interest rates, construction costs, and the broader economy,” said AIA Chief Economist Kermit Baker. “While billings may stay soft for a while, firms still report an average project backlog of 6.5 months, which provides some cushion.”
March ABI Highlights:
Regional Averages
- South: 48.3
- Midwest: 45.5
- West: 43.0
- Northeast: 40.5
Sector Performance
- Institutional: 46.2
- Mixed Practice: 46.1
- Commercial/Industrial: 45.1
- Multifamily Residential: 40.3
Other Metrics
- Project Inquiries Index: 47.7
- Design Contracts Index: 42.4
All values below 50 indicate contraction.
For more insights and full reporting, visit the AIA ABI Reports.