June ABI suggests upcoming weakness in nonresidential construction spending
The Architecture Billings Index saw more poor conditions last month, indicating a drop in design activity at U.S. architecture firms, and suggesting upcoming weakness in spending on nonresidential construction projects, according to a July 18 release from the American Institute of Architects.
AIA reported the June ABI score was 45.9, nearly identical to the mark of 45.8 in May.
“The downturn in design activity that began in April and accelerated in May has continued into June, likely extending the weak market conditions we’ve seen in nonresidential building activity,” said AIA Chief Economist, Kermit Baker, in the release. “While not all firms are experiencing negative conditions, a large share is still coping with a sluggish and erratic marketplace.”
The Midwest region had the highest score of 48.0, followed by the South at 47.6, the Northeast at 46.4 and the West at 44.3. The multi-family residential sector saw the most activity with a score of 49.0, followed by commercial / industrial at 46.9, institutional at 46.0, and mixed practice at 45.9.