Architecture Billings Marked 6th Consecutive Month of Growth in July
Washington, DC, August 18, 2021-The Architecture Billings Index (ABI) score for July was 54.6, a sixth consecutive positive month, according to The American Institute of Architects (AIA).
While this was down slightly from June’s score of 57.1, it still indicates very strong business conditions overall (any score above 50 indicates an increase in billings from the prior month). Scoring for new project inquiries also declined in July but remained near its all-time high at 65.0. The score for new design contracts was essentially unchanged from June to July with a score of 58.0.
“In prior business cycles, architecture firms generally saw their project work soften quickly and then recover slowly,” said AIA chief economist, Kermit Baker. “So the strength of this recovery is unprecedented. Firm leaders who have leaned into this economic upturn by reinvesting in their firms by hiring staff and upgrading their technology, will likely have a better year than those that anticipated a slower recovery.”
Regional averages were as follows: Midwest (58.3); West (56.0); South (54.6); and Northeast (54.1).
The sector index breakdown was commercial/industrial (58.4); institutional (55.4); multi-family residential (54.7); and mixed practice (54.4).
Baker says, “The strength of the commercial industrial sector is a bit of a go figure because we felt residential and mixed-practice would have been stronger, and this is a good sign."
Related Topics:The American Institute of Architects