After falling in October, the Architecture Billings Index (ABI) rose more than three points in November to reach its highest mark since December 2007. The American Institute of Architects (AIA) reported the November ABI score was 52.0, up from a reading of 48.7 the previous month. This score reflects an increase in demand for design services (any score above 50 indicates an increase in billings). The new projects inquiry index was 61.4, down slightly from a mark of 61.7 in October.
Key November ABI highlights:
Regional averages: Northeast (51.1), Midwest (50.9), South (50.5), West (48.7)
Sector index breakdown: multi-family residential (54.3), commercial / industrial (49.8), institutional (49.3), mixed practice (45.8)
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. More information on the ABI and the analysis of its relationship to construction activity can be found in the white paper, “Architecture Billings as a Leading Indicator of Construction: Analysis of the Relationship Between a Billings Index and Construction Spending.”