Architecture Billings Index Shows Robust Conditions Ahead for Construction Industry

Washington, D.C. – October 22, 2014 – With all geographic regions and building project sectors showing positive conditions, there continues to be a heightened level of demand for design services signaled in the latest Architecture Billings Index (ABI).  As a leading economic indicator of construction activity, the ABI reflects the approximate nine to twelve month lead time between architecture billings and construction spending.  The American Institute of Architects (AIA) reported the September ABI score was 55.2, up from a mark of 53.0 in August.  This score reflects an increase in design activity (any score above 50 indicates an increase in billings).  The new projects inquiry index was 64.8, following a mark of 62.6 the previous month.

VIDEO: Click here for brief overview of recent ABI conditions from AIA Chief Economist

The AIA has added a new indicator measuring the trends in new design contracts at architecture firms that can provide a strong signal of the direction of future architecture billings.  The score for design contracts in August was 56.8.

“Strong demand for apartment buildings and condominiums has been one of the main drivers in helping to keep the design and construction market afloat in recent years,” said AIA Chief Economist Kermit Baker, Hon. AIA, PhD. “There continues to be a healthy market for those types of design projects, but the recently resurgent Institutional sector is leading to broader growth for the entire construction industry.”

Key September ABI highlights:

  • Regional averages: South (55.3) , Midwest (55.1), West (54.2), Northeast (51.0)
  • Sector index breakdown: multi-family residential (55.3), institutional (54.9), mixed practice (53.8), commercial / industrial (50.8)
  • Project inquiries index: 64.8
  • Design contracts index: 56.8

The regional and sector categories are calculated as a 3-month moving average, whereas the national index, design contracts and inquiries are monthly numbers.

Demand for Institutional projects surges in second half of year  
Washington, D.C. – October 22, 2014 – With all geographic regions and building project sectors showing positive conditions, there continues to be a heightened level of demand for design services signaled in the latest Architecture Billings Index (ABI).  As a leading economic indicator of construction activity, the ABI reflects the approximate nine to twelve month lead time between architecture billings and construction spending.  The American Institute of Architects (AIA) reported the September ABI score was 55.2, up from a mark of 53.0 in August.  This score reflects an increase in design activity (any score above 50 indicates an increase in billings).  The new projects inquiry index was 64.8, following a mark of 62.6 the previous month.

VIDEO: Click here for brief overview of recent ABI conditions from AIA Chief Economist

The AIA has added a new indicator measuring the trends in new design contracts at architecture firms that can provide a strong signal of the direction of future architecture billings.  The score for design contracts in August was 56.8.

“Strong demand for apartment buildings and condominiums has been one of the main drivers in helping to keep the design and construction market afloat in recent years,” said AIA Chief Economist Kermit Baker, Hon. AIA, PhD. “There continues to be a healthy market for those types of design projects, but the recently resurgent Institutional sector is leading to broader growth for the entire construction industry.”

Key September ABI highlights:

  • Regional averages: South (55.3) , Midwest (55.1), West (54.2), Northeast (51.0)
  • Sector index breakdown: multi-family residential (55.3), institutional (54.9), mixed practice (53.8), commercial / industrial (50.8)
  • Project inquiries index: 64.8
  • Design contracts index: 56.8

The regional and sector categories are calculated as a 3-month moving average, whereas the national index, design contracts and inquiries are monthly numbers.

About the AIA Architecture Billings Index
The Architecture Billings Index (ABI), produced by the AIA Economics & Market Research Group, is a leading economic indicator that provides an approximately nine to twelve month glimpse into the future of nonresidential construction spending activity. The diffusion indexes contained in the full report are derived from a monthly “Work-on-the-Boards” survey that is sent to a panel of AIA member-owned firms. Participants are asked whether their billings increased, decreased, or stayed the same in the month that just ended as compared to the prior month, and the results are then compiled into the ABI.  These monthly results are also seasonally adjusted to allow for comparison to prior months. The monthly ABI index scores are centered around 50, with scores above 50 indicating an aggregate increase in billings, and scores below 50 indicating a decline. The regional and sector data are formulated using a three-month moving average. More information on the ABI and the analysis of its relationship to construction activity can be found in the recently released White Paper, Designing the Construction Future: Reviewing the Performance and Extending the Applications of the AIA’s Architecture Billings Index on the AIA web site.

About The American Institute of Architects
Founded in 1857, members of the American Institute of Architects consistently work to create more valuable, healthy, secure, and sustainable buildings, neighborhoods, and communities. Through nearly 300 state and local chapters, the AIA advocates for public policies that promote economic vitality and public well being.  Members adhere to a code of ethics and conduct to ensure the highest professional standards. The 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. Visitwww.aia.org.

Contact:
Scott Frank
202-626-7467
sfrank@aia.org
http://twitter.com/AIA_Media

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Architecture Billings Index Exhibits Continued Strength

On the heels of recording its strongest pace of growth since 2007, there continues to be an increasing level of demand for design services signaled in the latest Architecture Billings Index (ABI). As a leading economic indicator of construction activity, the ABI reflects the approximate nine to twelve month lead time between architecture billings and construction spending. The American Institute of Architects (AIA) reported the August ABI score was 53.0, down from a mark of 55.8 in July. This score reflects an increase in design activity (any score above 50 indicates an increase in billings). The new projects inquiry index was 62.6, following a very strong mark of 66.0 the previous month.

The AIA has added a new indicator measuring the trends in new design contracts at architecture firms that can provide a strong signal of the direction of future architecture billings. The score for design contracts in August was 56.9.

“One of the key triggers for accelerating growth at architecture firms is that long-stalled construction projects are starting to come back to life in many areas across the country,” said AIA Chief Economist Kermit Baker, Hon. AIA, PhD. “Long awaited access to credit from lending institutions and an increasing comfort level in the overall economy has helped revitalize the commercial real estate sector in recent months. Additionally, though, a crucial component to a broader industry-wide recovery is the emerging demand for new projects such as education facilities, government buildings and, in some cases, hospitals.”

Key August ABI highlights:

• Regional averages: Northeast (58.1) , South (55.1), West (52.5), Midwest (51.0)

• Sector index breakdown: multi-family residential (58.1), mixed practice (57.1), institutional (54.0), commercial / industrial (50.4)

• Project inquiries index: 62.6

• Design contracts index: 56.9

The regional and sector categories are calculated as a 3-month moving average, whereas the national index, design contracts and inquiries are monthly numbers.

About the AIA Architecture Billings Index
The Architecture Billings Index (ABI), produced by the AIA Economics & Market Research Group, is a leading economic indicator that provides an approximately nine to twelve month glimpse into the future of nonresidential construction spending activity. The diffusion indexes contained in the full report are derived from a monthly “Work-on-the-Boards” survey that is sent to a panel of AIA member-owned firms. Participants are asked whether their billings increased, decreased, or stayed the same in the month that just ended as compared to the prior month, and the results are then compiled into the ABI.  These monthly results are also seasonally adjusted to allow for comparison to prior months. The monthly ABI index scores are centered around 50, with scores above 50 indicating an aggregate increase in billings, and scores below 50 indicating a decline. The regional and sector data are formulated using a three-month moving average. More information on the ABI and the analysis of its relationship to construction activity can be found in the recently released White Paper,Designing the Construction Future: Reviewing the Performance and Extending the Applications of the AIA’s Architecture Billings Index on the AIA web site.

About The American Institute of Architects
Founded in 1857, members of the American Institute of Architects consistently work to create more valuable, healthy, secure, and sustainable buildings, neighborhoods, and communities. Through nearly 300 state and local chapters, the AIA advocates for public policies that promote economic vitality and public well being.  Members adhere to a code of ethics and conduct to ensure the highest professional standards. The 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. Visit www.aia.org.

Contacts:
Scott Frank
202-626-7467 
Email Contact 

http://twitter.com/AIA_Media

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Autodesk Revit 2015 Subscribers Get Slew of New Capabilities with “R2” Update

Autodesk is making an updated release of Revit software for Building Information Modeling (BIM) available today to Maintenance Subscription and Desktop Subscription customers*.

Autodesk Revit 2015 R2 includes over 30 user-requested features that add powerful capabilities, enhance software performance and improve user productivity for architects, MEP and structural engineers.

In addition to addressing customer requests, the family of Revit R2 releases represents more value for Subscription customers who get access to the most current Revit technologies.

“Our customers are constantly looking for greater productivity and capabilities from the technologies they rely on to meet their own business needs.  We are releasing this update to Revit to help deliver on those needs and help our subscribers exceed the expectations of their clients using the latest, advanced technologies from Autodesk,” said Jim Lynch, Vice President, Building and Collaboration Products, Autodesk.

Coinciding with this release, Autodesk is also delivering on a continued customer request for access to site planning tools within Revit.  The new Site Designer Extension for Revit® 2015 software, available through the Autodesk Exchange store to select Subscription customers**, is based on an acquisition of site planning software formerly known as SiteWorks from Eagle Point Software Corporation.

1Figure 1: Site Designer enables architects, designers and planners to shape the terrain for building sites and communicate design intent with civil engineers.

- See more at:

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