Association of the Wall and Ceiling Industry Logo

AIA Index Reveals Substantial Decline in Architecture Billings


Demand for design services in August took a markedly downward swing compared to July’s already soft score, according to a new report released on Sept. 18 by the American Institute of Architects.

    

AIA’s Architecture Billings Index score of 47.2 in August showed a significant drop in architecture firm billings compared to the July score of 50.1. Any score below 50 indicates a decrease in billings. The design contracts score also declined to 47.9 in August, representing a rare dip for this indicator. Billings in the West stayed modestly positive while all other regions remained in negative territory.

    

“The sizeable drop in both design billings and new project activity, coming on the heels of six months of disappointing growth in billings, suggests that the design expansion that began in mid-2012 is beginning to face headwinds,” said AIA Chief Economist Kermit Baker, Ph.D., Hon. AIA. “Currently, the weakness is centered at firms specializing in commercial/industrial facilities as well as those located in the Midwest. However, there are fewer pockets of strength in design activity now, either by building sector or region than there have been in recent years.”

    

Key ABI highlights for August include the following:


  • Regional averages: West (51.2); Northeast (49.1); South (48.2); Midwest (46.4).

  • Sector index breakdown: institutional (50.6); multifamily residential (50.5); commercial/industrial (46.9); mixed practice (46.3).

  • Project inquiries index: 54.5.

  • Design contracts index: 47.9.

Browse Similar Articles

You May Also Like

New research has ranked the United States’ most populated industries and estimated what their pay could look like in 2033, in line with inflation, and the results are surprising.
A composite image made of a silhouette of the United States covered in grass.

U.S. Green Building Council Announces Top 10 U.S. States for Green Building in 2023The U.S. Green Building Council has released its annual list of Top 10 States for LEED. For

AWCI's Construction Dimensions cover

Renew or Subscribe Today!