...it appears that design activity for all major segments of the building industry is growing.
The challenge now for architecture firms seems to be finding the right balance for staffing needs to meet increasing demand.”
• Regional averages: Midwest (56.3), South (53.9), Northeast 51.1) , West (48.7) [three month average]
(emphasis added)
Calculated Risk
This graph shows the Architecture Billings Index since 1996. The index was at 53.5 in June, up from 52.6 in May. Anything above 50 indicates expansion in demand for architects' services. This index has indicated expansion during 18 of the last 23 months.
Note: This includes commercial and industrial facilities like hotels and office buildings, multi-family residential, as well as schools, hospitals and other institutions.
According to the AIA, there is an "approximate nine to twelve month lag time between architecture billings and construction spending" on non-residential construction. So the readings over the last year suggest some increase in CRE investment this year and in 2015.
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