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Breaking Flooring NewsArchitecture & Design (A&D)Commercial Flooring

Architecture Billings Index Continues Its Streak of Soft Readings

AIA-logo
August 21, 2019

Washington, D.C. -- Demand for design services in July remained essentially flat in comparison to the previous month, according to a new report released by The American Institute of Architects (AIA).

AIA’s Architecture Billings Index (ABI) score of 50.1 in July showed a small increase in design services since June, which was a score of 49.1. Any score above 50 indicates an increase in billings. In July, the design contracts score dipped into negative territory for the first time in almost a year. Additionally, July billings softened in all regions except the West, and at firms of all specializations except multifamily residential.

“The data is not the same as what we saw leading up to the last economic downturn but the continued, slowing across the board will undoubtedly impact architecture firms and the broader construction industry in the coming months,” said Kermit Baker, Ph.D., AIA chief economist. “A growing number of architecture firms are reporting that the ongoing volatility in the trade situation, the stock market, and interest rates are causing some of their clients to proceed more cautiously on current projects.”

Regional averages were as follows: West (51.2); Midwest (48.9); South (48.3); Northeast (48.3). Sector indexes were: multi-family residential (50.6); institutional (49.8); commercial/industrial (49.2); mixed practice (48.9). The project inquiries and design contracts index were 54.9 and 49.0 respectively.

For more information, visit aia.org.

KEYWORDS: American Institute of Architects (AIA) market trends

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