Architecture Billings Remain in Negative Territory, Begin to Stabilize

July 23rd, 2020 | Category: Industry News

Demand for design services from architecture firms began to stabilize in June, following their peak declines in April, according to a new report from The American Institute of Architects (AIA).

AIA’s Architecture Billings Index (ABI) score for June was 40.0 compared to 32.0 in May. The May ABI score indicates that a significant share of architecture firms still saw their billings decline from May to June, however the share reporting declines slowed significantly. Index scores for new project inquiries and new design contracts also showed signs of stabilizing, posting scores of 49.3 and 44.0, respectively.

“While business conditions remained soft at firms across the country, those with a multifamily residential specialization saw the most positive signs,” says AIA chief economist Kermit Baker. “Unfortunately, conditions at firms with a commercial/industrial specialization are likely to remain weak for an extended period of time, until hospitality, office and retail facilities can fully reopen, and design demand for this space begins to increase.”

Key ABI figures for June include:

  • Regional averages: Midwest (36.8); West (36.8); South (35.9); Northeast (34.2)
  • Sector index breakdown: multifamily residential (44.7); institutional (38.9); mixed practice (35.3); commercial/industrial (30.1)
  • Project inquiries index: 49.3
  • Design contracts index: 44.0

Leave Comment

X
This site uses cookies which allow us to give you the best browsing experience possible. Cookies are files stored in your browser and are used by most websites to help personalize your web experience. By continuing to use our website, you are agreeing to our use of cookies. To find out more, please see our Privacy Policy.