May Brings Solid Jump for Architecture Billings Index
June 29, 2016
The Architecture Billings Index (ABI) registered its highest score in nearly a year in May, reflecting improving conditions in the design and construction industries.
According to the American Institute of Architects, the monthly ABI “is a leading indicator for nonresidential construction activity, with a lead time of approximately 9 to 12 months. The Index is derived from AIA’s work-on-the-boards survey, which has gathered data on shifts in billings from architectural firm leaders for over 20 years.”
May’s Index score of 53.1 indicated that billings not only improved in May, for the fourth consecutive month, but that more firms are experiencing this rising tide. According to the AIA release, “Inquiries into new projects were also strong in May and the value of new design contracts continued to increase.”
Firms of all specializations experienced increased billings in May, and conditions improved in all geographical regions, with the exception of what the AIA called “a minute” downturn for firms in the Midwest.