Rebounding architect billings in July bode well for commercial construction

After two months of declines, the Architectural Billings Index edged up in July, thanks to large gains for commercial and industrial firms, according to an Aug. 23 release from The American Institute of Architects in Washington, D.C.
The overall index reached 51.8, with anything above 50 indicating an increase in billings.

Commercial and industrial billings increased from 54.3 in June to 58.4 in July, according to the release.

Institutional billings also increased in July, reaching 52.8. Residential and mixed billings both fell, slipping to 46.8 and 45.2, respectively.

Gains were reported in all regions except the Midwest, where the average reached 48.2. The West reported average billings of 52.7; the Northeast, 51.6; and the South, 51.4.

The AIA produces the Architecture Billings Index based on data from a work-on-the-boards survey of firms and figures of construction put in place from the U.S. Department of Commerce. The index provides an approximate six-month forecast for construction activities.

To read AIA Chief Economist Kermit Baker’s response to the findings, click here.