Industry News

More architecture firms reported a decline in billings in February, indicating an extension of a recent downturn in design activity according to a new report released today from The American Institute of Architects (AIA).

The score for February fell slightly to 48.0 (any score below 50 indicates a decline in firm billings). However, inquiries into new projects continued to improve, as did the value of new design contracts. Both indicators suggest that design work is expected to improve in the coming months.'

“The combination of an unsettled economy and high interest rates is causing investors and property owners to take a closer look at their plans for construction projects,” said AIA Chief Economist, Kermit Baker, Hon. AIA, PhD. “While this is producing delays for some projects under design, architecture firms are reporting that prospects for future project work remain generally positive.”

Key ABI highlights for February include:

-Regional averages: West (50.4); Midwest (48.8); Northeast (48.4); South (47.3)

-Sector index breakdown: mixed practice (57.0); institutional (46.9); commercial/industrial (45.8); multi-family residential (46.2)

The regional and sector categories are calculated as three-month moving averages and may not always average out to the national score.

Visit AIA’s website for detailed information about this, and past, AIA reports.

About AIA        

Founded in 1857, AIA consistently works to create more valuable, healthy, secure,  and sustainable buildings, neighborhoods, and communities. Through more    than 200 international, state and local chapters, AIA advocates for public policies that promote economic vitality and public wellbeing.  AIA provides members with tools and resources to assist them in their careers and business as well as engaging civic and government  leaders and the public to find solutions to pressing issues facing our communities, institutions, nation, and world. Members adhere to a code of ethics and conduct to ensure the highest professional standards. The score for February fell slightly to 48.0 (any score below 50 indicates a decline in firm billings). However, inquiries into new projects continued to improve, as did the value of new design contracts. Both indicators suggest that design work is expected to improve in the coming months.