Architecture Billings Continue Historic Rebound

June 30, 2021 - Demand for design services from U.S. architecture firms continues to grow at a vigorous pace, according to a new report today from The American Institute of Architects (AIA).

AIA’s Architecture Billings Index (ABI) score for May rose to 58.5 compared to 57.9 in April (any score above 50 indicates an increase in billings). May’s ABI score is one of the highest in the index’s 25-year history. During May, the new design contracts score reached its second consecutive record high with a score of 63.2, while new project inquiries also recorded a near-record high score at 69.2.  

“The Midwest and Iowa are seeing the strongest growth in billings as compared to the other the regions across the US, this growth started in November of 2020 and it has kept climbing upwards since. Although costs for materials and products as well as delivery delays will play a factor in this progress, as more places reopen we are seeing design activity soar,” said AIA Iowa Executive Director, Jessica Reinert. “We will keep our eye on several factors that may lead to stalls in activity later on this year including supply chain disruptions, labor shortages, and rising inflation.”

Key ABI highlights for May include:

•    Regional averages: Midwest (63.4); South (59.0); West (57.4); Northeast (54.2)
•    Sector index breakdown: commercial/industrial (60.6); multi-family residential (59.5); mixed practice (57.9); institutional (57.1)
•    Project inquiries index: 69.2
•    Design contracts index: 63.2

The regional and sector categories are calculated as a three-month moving average, whereas the national index, design contracts and inquiries are monthly numbers.

Visit AIA’s website for more ABI information.