Negative Conditions Persist in AIA's Architecture
July 22, 2010
The American Institute of Architects (AIA) reported there was a
negligible increase in the Architecture Billings Index (ABI) last
month. AIA's June ABI rating was 46.0, up slightly from a reading
of 45.8 the previous month. This score reflects a continued decline
in demand for design services (any score above 50 indicates an increase
in billings). The new projects inquiry index increased from 55.5
"The steep decline in nonresidential property values has slowed
investment in new facilities," said AIA chief economist Kermit
Baker, PhD, Hon. AIA. "Conditions at architecture firms continue
to remain very soft, but we're optimistic that they will improve
before the end of the year."
Key June ABI highlights:
- Regional averages: Northeast (47.7), South (46.7), Midwest (46.3),
- Sector index breakdown: commercial/industrial (50.6), multi-family
institutional (45.0), mixed practice (44.7); and
- Project inquiries index: 57.7.
Need more info and analysis about the issues?
HERE to subscribe to USGlass magazine.