Architecture Billings Index Hit 53.1 in May, Highest Score in Nearly a Year

Washington, DC, June 27, 2016—Led by a still active multi-family housing market and sustained by solid levels of demand for new commercial and retail properties, the Architecture Billings Index accelerated to its highest score in nearly a year with a May ABI score of 53.1.

This represents a sharp rise from the mark of 50.6 in the previous month.

The new projects inquiry index was 60.1, up from a reading of 56.9 the previous month.

“Business conditions at design firms have hovered around the break-even rate for the better part of this year,” said AIA chief economist, Kermit Baker, Hon. AIA, PhD. “Demand levels are solid across the board for all project types at the moment. Of particular note, the recent surge in design activity for institutional projects could be a harbinger of a new round of growth in the broader construction industry in the months ahead.”

In May, the regional averages were as follows: West, 53.8; South, 53.7; Northeast, 51.2; and Midwest, 49.9.

The sector index breakdown was multi-family residential, 53.7; institutional, 53.0; commercial / industrial, 51.0 and mixed practice, 51.0.

The project inquiries index was 60.1, and the design contracts index was 52.8.

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