This year started strong for architecture firms, with the American Institute of Architects’ (AIA’s) Architecture Billings Index (ABI) seeing its highest January score since 2007. The index reflects an increase in design services provided by U.S. architecture firms, with any score above 50 indicating an increase in billings.
AIA reported a January ABI score of 54.7, up from 52.8 in December. The new design contracts index also improved slightly, rising from 53.4 to 53.9, while the new projects inquiry index dropped to 61.1, down from a reading of 62.0 the previous month.
Regional averages scored at:
- 56.2 for the West;
- 55.3 for the South;
- 54.8 for the Midwest; and
- 47.3 for the Northeast.
Meanwhile, specific sectors performed as follows:
- multi-family residential scored 56.0;
- commercial/industrial scored 53.3;
- institutional scored 52.5; and
- mixed practice scored 50.1.
“Healthy conditions continue across all sectors and regions except the Northeast, where firm billings softened for the second consecutive month,” said AIA chief economist Kermit Baker. “With strong billings and healthy growth in new projects to start the year, firms remain generally optimistic about business conditions for the next several months.”
Produced by the AIA Economics and Market Research Group, the ABI is derived from a monthly survey on the increase, decrease, or consistency of billings, which is sent to firms owned by AIA members.
To read more on the January report, click here.