Business conditions continue to worsen at architecture firms, ABI data shows

DES MOINES, IA – October 23, 2024– Despite improving conditions in the broader economy, September marked the twentieth consecutive month of declining billings for architecture firms, according to the latest data from the AIA/Deltek Architecture Billings Index (ABI). The ABI score of 45.7 for the month indicates that the majority of firms continued to experience a decline in their billings.

Architecture billings in the Midwest have dropped slightly from over 46 down to 45 points. Many architecture firms in Iowa have projects on the shelf but are waiting for owners to give them the go-ahead.” said Jessica Reinert, Hon. AIA Iowa, AIA Iowa’s Executive Director. “New opportunities are developing, but owners remain watchful of what’s ahead for the US economy overall.”

Key ABI highlights for September include:

• Regional averages: South (49.5); Northeast (46.4); Midwest (45.0); West (42.6)

• Sector index breakdown: institutional (48.5); mixed practice (firms that do not have at least half of their billings in any one other category) (47.8); commercial/industrial (44.2); multifamily residential (41.7)

• Project inquiries index: 51.6

• Design contracts index: 48.3

The regional and sector categories are calculated as three-month moving averages and may not always average out to the national score.

Visit AIA’s website for more ABI information.