Architecture Billings Index Back in Growth Mode

Washington, DC, Sept. 22, 2011 -- The Architecture Billings Index reversed course in August to indicate that the industry just might be growing again.

The index, a leading indicator of nonresidential construction, surged to 51.4 following a weak score of 45.1 in July, according to the American Institute of Architects.

July was the fourth straight down month for the index.

Any score above 50 indicates an increase in billings, reflecting increased demand for design services.

August’s score also showed an increase in inquiries about new projects, up sharply to 56.9 from 53.7 the previous month.

"Many firms are still struggling and continue to report that clients are having difficulty getting financing for viable projects, but it’s possible we’ve reached the bottom of the down cycle," AIA Chief Economist Kermit Baker said.

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