reading-rock-old

Business Conditions Remain Soft at Architecture Firms

nutterc@ReadingRock.com (Carolyn Nutter) — Wed, 18 Sep 2024 14:08:44 GMT

WASHINGTON – September 18, 2024 – August marked the nineteenth consecutive month of declining billings for architecture firms, according to the latest data from the AIA/Deltek Architecture Billings Index (ABI). The pace of decline during August accelerated, posting an ABI score of 45.7, a decrease from 48.2 in July.

“Unfortunately, even the impending interest rate cuts didn’t move the needle on project inquiries or new design contracts at architecture firms,” said Kermit Baker, PhD, AIA Chief Economist. “Hopefully, once the trajectory of further cuts gets clarified, delayed projects will restart, and new projects will gather momentum.”

Key ABI highlights for August include:

• Regional averages: Northeast (48.2); South (46.8); Midwest (46.6); West (45.7)

• Sector index breakdown: mixed practice (firms that do not have at least half of their billings in any one other category) (48.6); institutional (47.4); commercial/industrial (46.6); multifamily residential (44.0)

• Project inquiries index: 52.4

• Design contracts index: 47.3

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 detailed information about this, and past billing index reports.

Soft Business Conditions Persist at Architecture Firms

nutterc@ReadingRock.com (Carolyn Nutter) — Wed, 21 Aug 2024 12:50:21 GMT

WASHINGTON – August 21, 2024 – July marked the eighteenth consecutive month of declining billings for architecture firms, according to the latest data from the AIA/Deltek Architecture Billings Index (ABI). While the ABI score of 48.2 indicates that fewer firms reported declines in billings compared to June, over half of the responding firms continue to navigate challenging business conditions.

"Architecture firms continue to face a billings slowdown,” said Kermit Baker, PhD, AIA Chief Economist. “However, the emerging prospects of lower interest rates coupled with a modest uptick in project inquiries suggest that some dormant projects may be revived in the coming months.”

Newly signed design contracts saw a decrease for the fourth consecutive month, although the rate of decline has slowed. Notably, inquiries into new projects have increased, although at a continued slow pace.

Regionally, firms located in the Northeast experienced stable billings for the second consecutive month, representing the first two-month period with scores at or above 50 since mid-2022. Billings declined in other regions, yet the pace of those declines has decreased across the board

The ABI score is a leading economic indicator of construction activity, providing an approximately nine-to-twelve-month glimpse into the future of nonresidential construction spending activity. The score is derived from a monthly survey of architecture firms that measures the change in the number of services provided to clients.

Key ABI highlights for June include:

• Regional averages: Northeast (50.0); Midwest (47.6); South (46.3); West (46.0)

• Sector index breakdown: commercial/industrial (45.0); institutional (49.1); mixed practice (firms that do not have at least half of their billings in any one other category) (47.7); multifamily residential (45.4)

• Project inquiries index: 52.4

• Design contracts index: 46.5

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 detailed information about this, and past billing index reports.

Billings at Architecture Firms Remain in Decline

nutterc@ReadingRock.com (Carolyn Nutter) — Mon, 29 Jul 2024 18:27:15 GMT

WASHINGTON – July 24, 2024 – Business conditions remained soft at architecture firms in June with the AIA/Deltek Architecture Billings Index (ABI) reporting a score of 46.4. Any score below 50 indicates a billings decline, although this month’s score indicates that somewhat fewer firms reported a decline in billings in June than in May.

"Architecture firms continue to face a period of headwinds in the construction sector, driven by elevated interest rates, high construction costs, and generally weak property values,” said Kermit Baker, PhD, AIA Chief Economist. “This is the seventeenth consecutive month of a billings decrease and yet, despite the softness firms remain generally optimistic that conditions will start to improve once interest rates begin to ease.”

Indicators of future work remained generally soft as well:

• Only slightly more than half of the responding firms reported an increase in inquiries into new work.

• Firms reported a third consecutive month of decline in value of newly signed design contracts.

• While many firms still have a healthy backlog of projects in the pipeline, 6.4 months on average, this is the lowest that backlogs have been in more than three years.

Key ABI highlights for June include:

• Regional averages: Northeast (52.2); Midwest (40.9); South (43.9); West (43.1)

• Sector index breakdown: commercial/industrial (42.0); institutional (44.3); mixed practice (firms that do not have at least half of their billings in any one other category) (46.9); multifamily residential (45.1)

• Project inquiries index: 51.6

• Design contracts index: 45.6

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 detailed information about this, and past billing index reports.

Architecture Business Conditions Decline in May

nutterc@ReadingRock.com (Carolyn Nutter) — Wed, 26 Jun 2024 17:39:09 GMT

WASHINGTON – June 26, 2024 – The AIA/Deltek Architecture Billings Index (ABI) score declined to 42.4 in May, as more firms reported a decrease in billings than the month prior.

"The decline in the May ABI score continues a year and a half of weakness in design billings at U.S. architecture firms. However, firms only reported modest declines over the first half of this period,” said Kermit Baker, PhD, AIA Chief Economist. “Over the past nine months, volatility has increased, and scores have softened more significantly, with the May score the weakest reported since the end of the pandemic recession."

The pipeline of new work coming into firms is showing increasing softness. While inquiries into new projects continue to increase, they did so at a slower pace than in recent months. Additionally, architecture firm billings remained soft across all regions and sectors in May. Billings declined at firms in all regions of the country for the fourth consecutive month, as conditions remained weakest at firms located in the Midwest.

Key ABI highlights for May include:

• Regional averages: Northeast (47.7); Midwest (41.7); South (46.0); West (46.3)

• Sector index breakdown: commercial/industrial (48.2); institutional (43.2); mixed practice (firms that do not have at least half of their billings in any one other category) (42.8); multifamily residential (47.3)

• Project inquiries index: 52.1

• Design contracts index: 45.6

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 detailed information about this, and past billing index reports.

AIA/Deltek Architecture Billings Index Reflects Decline in April

nutterc@ReadingRock.com (Carolyn Nutter) — Wed, 22 May 2024 15:30:23 GMT

WASHINGTON – May 22, 2024 – Architecture firm billings remained soft in April, with an AIA/Deltek Architecture Billings Index (ABI) score of 48.3 for the month. The score rose from 43.6 in March but still indicates that billings continue to decline at most architecture firms. While the value of newly signed design contracts dipped slightly in April, there remains interest from clients as inquiries into new projects continue to increase.

“These findings indicate that while there is still caution among clients, there are also positive signs with increasing inquiries into new projects,” said Kermit Baker, PhD, AIA Chief Economist. “Continued high interest rates make it difficult for some projects to move forward, but there is ongoing interest in pursuing these projects once conditions improve. In the meantime, design activity is expected to remain sluggish.”

Architecture firm billings continued to decline at firms in all regions of the country, with firms located in the Midwest and South reporting the sharpest declines. Business conditions also remain soft at firms of all specializations, with the weakest conditions continuing at firms with a multifamily residential specialization.

Key ABI highlights for April include:

• Regional averages: Northeast (45.9); Midwest (44.2); South (44.7); West (47.8)

• Sector index breakdown: commercial/industrial (47.4); institutional (46.1); mixed practice (firms that do not have at least half of their billings in any one other category) (43.9); multifamily residential (45.6)

• Project inquiries index: 54.8

• Design contracts index: 49.2

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 detailed information about this, and past billing index reports.

Further Softening Reported in March on Architectural Firm Billings

nutterc@ReadingRock.com (Carolyn Nutter) — Wed, 24 Apr 2024 14:15:14 GMT

WASHINGTON – April 24, 2024 – The AIA/Deltek Architecture Billings Index (ABI) reported a score of 43.6 for the month of March, indicating business conditions continue to soften for architecture firms. This marks the 14th consecutive month of declining billings at firms as inflation, supply chain issues and other economic challenges continue to affect business.

“Elevated construction costs coupled with prolonged high interest rates continue to discourage new project activity,” said Kermit Baker, PhD, AIA Chief Economist. However, institutional design work seems to have stabilized, providing a solid base for the profession as it awaits a more positive economic environment for construction.

All regions of the country reported a decline in billings, with business conditions looking the softest this month at firms in the Midwest and the South. While there was a decline in billings for firms of all specializations, billings declined at a faster pace for firms with a commercial/industrial specialization.

Key ABI highlights for March include:

• Regional averages: Northeast (46.0); Midwest (45.2); South (45.3); West (47.6)

• Sector index breakdown: commercial/industrial (42.9); institutional (49.9); mixed practice (firms that do not have at least half of their billings in any one other category) (48.3); multifamily residential (44.2)

• Project inquiries index: 54.9

• Design contracts index: 50.0

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 detailed information about this, and past billing index reports.

AIA/Deltek ABI Reports Moderation in the Slowdown in February

nutterc@ReadingRock.com (Carolyn Nutter) — Wed, 20 Mar 2024 12:41:17 GMT

AIA/Deltek ABI Reports Moderation in the Slowdown in Business Conditions at Architecture Firms in February

WASHINGTON – March 20, 2024 – Architecture firm billings continued to decline in February, with an AIA/Deltek Architecture Billings Index (ABI) score of 49.5 for the month. However, February’s score marks the most modest easing in billings since July 2023 and suggests that the recent slowdown may be receding.

“There are indicators this month that business conditions at firms may finally begin to pick up in the coming months. Inquiries into new projects grew at their fastest pace since November, and the value of newly signed design contracts increased at their fastest pace since last summer,” said Kermit Baker, PhD, AIA Chief Economist." Given the moderation of inflation for construction costs and prospects for lower interest rates in the coming months, there are positive signs for future growth.”

The Midwest as a region is still reporting billings growth, despite business conditions remaining weak across the country in February. Firms located in the Midwest reported growth for the last three months, and for four of the last five months.

Key ABI highlights for February include:

• Regional averages: Northeast (44.0); Midwest (50.8); South (47.7); West (47.2)

• Sector index breakdown: commercial/industrial (46.1); institutional (50.7); mixed practice (firms that do not have at least half of their billings in any one other category) (47.1); multifamily residential (44.9)

• Project inquiries index: 56.0

• Design contracts index: 51.1

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 detailed information about this, and past billing index reports.

Architecture Billings Index Reports Sluggish Conditions to Start 2024

nutterc@ReadingRock.com (Carolyn Nutter) — Wed, 21 Feb 2024 16:15:00 GMT

WASHINGTON – February 21, 2024 – Architecture firm billings remained soft entering into 2024, with an AIA/Deltek Architecture Billings Index (ABI) score of 46.2 in January. Any score below 50.0 indicates decreasing business conditions.

“This now marks the lengthiest period of declining billings since 2010, although it is reassuring that the pace of this decline is less rapid and the broader economy showed improvement in January,” said Kermit Baker, PhD, AIA Chief Economist. "Firms are seeing growth with inquiries into new projects and value of newly signed design contracts is holding steady, showing potential signs of interest from clients in new projects.”

Business conditions remained weak at firms in all regions of the country except the Midwest, where modest growth was seen in three of the last four months. Firms with a multifamily residential specialization continue to report the softest business conditions of all specializations.

Key ABI highlights for January include:

• Regional averages: Northeast (43.6); Midwest (50.9); South (45.2); West (46.6)

• Sector index breakdown: commercial/industrial (47.0); institutional (48.5); mixed practice (firms that do not have at least half of their billings in any one other category) (42.9); multifamily residential (44.6)

• Project inquiries index: 53.8

• Design contracts index: 49.7

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

Every January the AIA research department updates the seasonal factors used to calculate the ABI, resulting in a revision of recent ABI values.

Visit AIA’s website for detailed information about this, and past billing index reports.

2023 Ends with Continued Weak Business Conditions for Architecture Firms

nutterc@ReadingRock.com (Carolyn Nutter) — Thu, 25 Jan 2024 18:22:14 GMT

WASHINGTON – January 24, 2024 – The AIA/Deltek Architecture Billings Index (ABI) remained below 50 for December, indicating soft business conditions to close out 2023. The score of 45.4 remained essentially flat from November. Any score below 50.0 indicates decreasing business conditions but there are encouraging signs of the pipeline.

“Billings at firms declined for eight months of the year, and the last four months saw this overall weakness accelerate,” said Kermit Baker, PhD, AIA Chief Economist. " Fortunately, project backlogs at firms eased only slightly through the year despite the overall reported softness in billings.”

Firm billings declined at firms in all regions of the country except the Midwest in December, where billings were essentially flat. Business conditions were also weak for most of the year at firms of all specializations, with firms with a multifamily residential specialization experiencing a particularly challenging year.

In addition, most firms report that over the past six months at least some of their projects have been significantly delayed, put on hold, or even cancelled. On average, almost 30% of projects on a dollar basis have fallen into one of these categories.

Key ABI highlights for December include:

• Regional averages: Northeast (45.9); Midwest (50.3); South (43.4); West (45.3)

• Sector index breakdown: commercial/industrial (46.4); institutional (46.5); mixed practice (firms that do not have at least half of their billings in any one other category) (42.3); multifamily residential (45.8)

• Project inquiries index: 53.1

• Design contracts index: 50.0

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 detailed information about this, and past billing index reports.

Architecture Firms Report Continued Low Billings

nutterc@ReadingRock.com (Carolyn Nutter) — Wed, 20 Dec 2023 15:25:39 GMT

The AIA/Deltek Architecture Billings Index (ABI) remained below 50 for the fourth consecutive month. The score of 45.3 increased by one point from October, indicating slightly fewer firms reporting a decline in billings. Any score

below 50.0 indicates decreasing business conditions but there are encouraging signs of the pipeline.

“This marks the seventh month in 2023 with a decline in billings. Over the past three months this pace of decline has accelerated, with firms in all specializations and in all regions of the country reporting weakening business conditions,” said Kermit Baker, PhD, AIA Chief Economist. "However, with signs that credit conditions are beginning to ease, firms are reporting an uptick in inquiries for future projects.”

Key ABI highlights for November include:

Regional averages: Northeast (44.4); Midwest (49.0); South (46.7); West (39.5)
Sector index breakdown: commercial/industrial (45.7); institutional (46.6); mixed practice (firms that do not have at least half of their billings in any one other category) (42.7); multifamily residential (42.1)
Project inquiries index: 56.9
Design contracts index: 48.1

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 detailed information about this, and past billing index reports.

Continuing Decline in Architecture Billings, AIA/Deltek Architecture Billings Index Reports

nutterc@ReadingRock.com (Carolyn Nutter) — Wed, 15 Nov 2023 15:52:47 GMT

WASHINGTON – November 15, 2023 – The AIA/Deltek Architecture Billings Index (ABI) reports that business conditions at architecture firms continued to soften in October. For the third consecutive month, the ABI score was under 50, indicating that a significant share of firms are seeing a decline in billings.

“This report indicates not only a decrease in billings at firms, but also a reduction in the number of clients exploring and committing to new projects, which could potentially impact future billings. The soft conditions were evident across the entire country as well as across all major nonresidential building sectors,” said Kermit Baker, PhD, AIA Chief Economist.

The score of 44.3 for October dipped slightly below the score of 44.8 in September. Billings were universally soft across the entire country in October, with firms located in the West and Northeast continuing to report the softest conditions overall for the second month in a row.

Key ABI highlights for October include:

• Regional averages: Northeast (42.1); South (48.5); Midwest (48.9); West (40.0)

• Sector index breakdown: commercial/industrial (43.7); institutional (49.1); mixed practice (firms that do not have at least half of their billings in any one other category) (44.0); multifamily residential (40.1)

• Project inquiries index: 48.8

• Design contracts index: 46.5

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 detailed information about this, and past billing index reports.

AIA/Deltek Reports New Decline in Business Conditions

nutterc@ReadingRock.com (Carolyn Nutter) — Mon, 23 Oct 2023 12:49:48 GMT

WASHINGTON – October 18, 2023 – Business conditions at architecture firms declined again in September, the AIA/Deltek Architecture Billings Index (ABI) reports. The score of 44.8 for September is the lowest score reported since December 2020 during the height of the pandemic. Any score below 50.0 indicates decreasing business conditions and this score indicates a significant increase in firms reporting declining billings.

“The September ABI score reflects a marked downturn in business conditions at architecture firms, with the sharpest decline observed since the peak of the pandemic," said Kermit Baker, PhD, AIA Chief Economist. "While more firms are reporting a decrease in billings, the report also shows the hesitance among clients to commit to new projects with a slump in newly signed design contracts. As a result, backlogs at architecture firms fell to 6.5 months on average in the third quarter, their lowest level since the fourth quarter of 2021.”

It's clear that all regions of the country are feeling this impact, with firms in the West continuing to face particularly challenging conditions. Only one sector, firms with an institutional specialization, remained flat while all other sectors reported declining billings. Firms with a multifamily residential specialization saw more decline, a continuation of month over month declines since August 2022.

Key ABI highlights for September include:

• Regional averages: Northeast (46.4); South (46.2); Midwest (49.3); West (44.3)

• Sector index breakdown: commercial/industrial (45.0); institutional (50.1); mixed practice (firms that do not have at least half of their billings in any one other category) (46.2); multifamily residential (43.5)

• Project inquiries index: 53.7

• Design contracts index: 46.2

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 detailed information about this, and past billing index reports.

AIA/Deltek Architecture Billings Index Sees Softening Business Conditions in August

nutterc@ReadingRock.com (Carolyn Nutter) — Wed, 20 Sep 2023 16:23:21 GMT

WASHINGTON – September 20, 2023 – The AIA/Deltek Architecture Billings Index (ABI) eased modestly in August, with a score of 48.1, marking the eleventh consecutive month of essentially flat billings at architecture firms. Any score below 50.0 indicates decreasing business conditions. This follows a period of robust growth in 2021 and 2022. While inquiries into new projects remained relatively strong in August, the value of newly signed design contracts declined for the first time since April, indicating that fewer clients signed contracts for new projects than in the prior three months.

“Business conditions at architecture firms continue to be sluggish,” said Kermit Baker, PhD, AIA Chief Economist. “New project work coming into architecture firms as well ongoing project activity remain stalled in a relatively narrow range and exhibit very little month-to-month variation. Through this pause has taken pressure off tight staffing conditions across the profession, there is considerable uncertainty over the direction of future activity.”

Business conditions also remained soft at firms with a multifamily residential specialization and declined modestly at firms with an institutional specialization. However, firms with a commercial/industrial specialization reported billings growth for the third month in a row in August.

Key ABI highlights for August include:

• Regional averages: Northeast (50.6); South (49.9); Midwest (48.1); West (45.8)

• Sector index breakdown: commercial/industrial (51.5); institutional (49.4); mixed practice (firms that do not have at least half of their billings in any one other category) (46.9); multifamily residential (44.1)

• Project inquiries index: 54.8

• Design contracts index: 47.9

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 detailed information about this, and past billing index reports.

Stable Business Conditions in July

nutterc@ReadingRock.com (Carolyn Nutter) — Tue, 29 Aug 2023 15:59:04 GMT

WASHINGTON – August 23, 2023 – The American Institute of Architects (AIA)/Deltek Architecture Billings Index (ABI) results for July signals mostly stable business conditions. The ABI score was 50.0, indicating that billings at architecture firms remained flat for the month.

“This is the third straight month that billings at architecture firms have stabilized,” said AIA Chief Economist Kermit Baker, PhD. “New project work has been even stronger over this period. This suggests that design work may finally begin to increase over the coming months, although somewhat modestly.”

Firms with a commercial/industrial specialization reported their strongest billings growth in more than a year, while firms with a multifamily residential specialization continued to report declining billings. While this marks the ninth consecutive month of growth for firms located in the Midwest region, firms in other regions reported modest declines in billings.

The ABI is a leading economic indicator derived from a monthly survey of AIA member-owned firms which measures demand for design services throughout U.S., providing insight into future construction activity across various sectors including commercial/industrial/institutional buildings and multifamily residential projects.

Key ABI highlights for July include:

• Regional averages: Midwest (51.6); West (49.6); Northeast (49.3); South (48.9)

• Sector index breakdown: commercial/industrial (52.7); institutional (51.2); mixed practice (firms that do not have at least half of their billings in any one other category) (46.3); multifamily residential (45.4)

• Project inquiries index: 54.5

• Design contracts index: 50.0

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 detailed information about this, and past billing index reports.

AIA/Deltek Architecture Billings Index Stable in June

nutterc@ReadingRock.com (Carolyn Nutter) — Wed, 19 Jul 2023 12:54:12 GMT

WASHINGTON – July 19, 2023 – Architecture firms reported flat billings in June, according to the latest Architecture Billings Index (ABI) from the American Institute of Architects (AIA) and Deltek.

The ABI score of 50.1 for the month indicates that billings at architecture firms remained steady as design activity continues to slowly recover from roiled economic conditions. This also marks the first time since last fall that there have been two consecutive months of scores above 50, although growth in June was weaker than May (any score above 50 indicates an increase in firm billings).

“It is encouraging to see two consecutive months of stability in billings after a couple quarters of weakness due to high inflation, rising interest rates, and increased construction costs,” said AIA Chief Economist Kermit Baker, PhD, Hon. AIA. “We are still facing some headwinds in the broader economy, but this respite suggests that market conditions may be finding firmer ground.”

Firms located in the Midwest continue to report the strongest billings for the eighth consecutive month, while firms in nearly all regions of the country also reported improving business conditions in June. Firms also reported that inquiries into new projects fell slightly from 57.2 to 56.7 the previous month. Further, the value of new design contracts edged up to 52.7 in June from 52.3 in May.

Firm backlogs have decreased from their record-high levels in 2022 but remain robust at an average of 6.8 months.

The AIA/Deltek ABI is a leading economic indicator derived from a monthly survey sent to AIA member-owned firms which measures demand for design services by architecture firms throughout U.S., providing insight into current and future construction activity across various sectors including commercial/industrial/institutional buildings and residential projects such as single-family housing and multifamily units.

Key ABI highlights for June include:

• Regional averages: Midwest (52.4); Northeast (50.6); South (50.5); West (48.6)

• Sector index breakdown: institutional (55.4); mixed practice (firms that do not have at least half of their billings in any one other category) (48.8); commercial/industrial (47.8); multi-family residential (47.4)

• Project inquiries index: 56.7

• Design contracts index: 52.7

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 detailed information about this, and past billing index reports.

Billings Index Idicates Business Conditions Rebound in May

nutterc@ReadingRock.com (Carolyn Nutter) — Wed, 21 Jun 2023 14:46:07 GMT

WASHINGTON – June 21, 2023 – Architecture firms experienced a rebound in billings in May after a downturn in April, according to the latest Architecture Billings Index (ABI) from the American Institute of Architects (AIA) and Deltek. The index score for May was the highest it has been since September 2022. Inquiries into new projects and design contracts also increased this month, reaching their highest levels since February.

The billings score for April increased from 48.5 in April to 51.0 in May (any score above 50 indicates an increase in firm billings). Firms also reported that inquiries into new projects accelerated to 57.2 from 53.9 the previous month. Further, the value of new design contracts also moved up to 52.3 in May from 49.8 in April.

“The modest improvement in overall demand for architectural services that we saw last month is encouraging news", said AIA Chief Economist Kermit Baker Hon. AIA, PhD., “However, there continues to be variation in the performance of firms by regional location and building specialization. This suggests that overall business conditions for the profession likely will continue to be variable."

Despite growth in the overall ABI this month, business conditions remain variable in different regions of the country. Billings improved at firms located in the South for the second consecutive month in May, while they were essentially flat at firms located in the Midwest, following six months of growth. However, billings continued to decline at firms located in both the West and Northeast, where scores have been below 50 since last fall.

By firm specialization, business conditions softened further at firms with a multifamily residential specialization in May, falling to the lowest level in two years. Billings also declined for the ninth consecutive month at firms with a commercial/industrial specialization. On the other hand, business conditions improved for the second month in a row at firms with an institutional specialization, as they reported their strongest growth since last year.

Key ABI highlights for May include:

• Regional averages: South (52.3); Midwest (49.6); Northeast (48.7); West (47.7)

• Sector index breakdown: institutional (53.4); mixed practice (firms that do not have at least half of their billings in any one other category) (52.7); commercial/industrial (47.5); multi-family residential (43.0)

• Project inquiries index: 57.2

• Design contracts index: 52.3

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 detailed information about this, and past billing index reports.

ABI Reflects Continued Weakness in Business Conditions

nutterc@ReadingRock.com (Carolyn Nutter) — Thu, 25 May 2023 11:53:24 GMT

WASHINGTON – May 24, 2023 – Architecture firms reported a modest decrease in April billings. However, there was a slight increase in inquiries into future project activity according to a report released today from The American Institute of Architects (AIA).

The billings score for March decreased from 50.4 in March to 48.5 in April (any score below 50 indicates a decrease in firm billings). However, firms reported that inquiries into new projects accelerated slightly to 53.9, while most firms continued to report a decline in the value of new design contracts, with a score of 49.8.

“The ongoing weakness in design activity at architecture firms reflects clients’ concerns regarding the economic outlook,” said AIA Chief Economist Kermit Baker Hon. AIA, PhD. “High construction costs, extended project schedules, elevated interest rates, and growing difficulty in obtaining financing are all weighing on the construction market.”

Despite the recent softness in billings, many firms are cautiously optimistic about this year. As the construction market cools, construction costs and schedules are expected to ease, which may make some projects more feasible. In addition, firms will continue to be able to capitalize on opportunities related to green building and energy efficiency initiatives that have increased over the past few years.

Key ABI highlights for April include:

• Regional averages: Midwest (51.2); West (49.3); South (48.7); Northeast (47.2)

• Sector index breakdown: mixed practice (firms that do not have at least half of their billings in any one other category) (52.1); commercial/industrial (51.8); institutional (50.6); multi-family residential (41.5)

• Project inquiries index: 53.9

• Design contracts index: 49.8

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 detailed information about this, and past billing index reports.

After Five Straight Monthly Declines, AIA/Deltek Architecture Billings Index (ABI) Reports Slightly Improved Business Conditions

nutterc@ReadingRock.com (Carolyn Nutter) — Thu, 20 Apr 2023 12:50:07 GMT

WASHINGTON – April 19, 2023 – Architecture firms reported a modest increase in March billings. This positive news was tempered by a slight decrease in new design contracts according to a new report released today from The American Institute of Architects (AIA). March was the first time since last September in which billings improved.

The billings score for March increased from 48.0 in February to 50.4 in March (any score above 50 indicates an increase in firm billings). However, firms reported that inquiries into new projects grew at a slower pace, while the value of new design contracts declined from 51.3 in February to 48.9 in March.

“In spite of the positive movement in architecture firm billings in March, core concerns remain., “said AIA Chief Economist, Kermit Baker, Hon. AIA, PhD. “Inflation still needs to ease further for interest rates to return to more normal levels, and the banking turmoil still threatens to hold back residential and commercial construction loans.”

Key ABI highlights for March include:

• Regional averages: Midwest (51.4); Northeast (49.1); South (47.4); West (47.2)

• Sector index breakdown: mixed practice (firms that do not have at least half of their billings in any one other category) (53.9); institutional (48.8); commercial/industrial (49.7); multi-family residential (44.2)

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 detailed information about this, and past AIA reports.

Architecture Billings Index Slowdown Continues into February

nutterc@ReadingRock.com (Carolyn Nutter) — Wed, 22 Mar 2023 13:58:56 GMT

WASHINGTON –March 22, 2023 – More architecture firms reported a decline in billings in February, indicating an extension of a recent downturn in design activity according to a new report released today from The American Institute of Architects (AIA).

The score for February fell slightly to 48.0 (any score below 50 indicates a decline in firm billings). However, inquiries into new projects continued to improve, as did the value of new design contracts. Both indicators suggest that design work is expected to improve in the coming months.

“The combination of an unsettled economy and high interest rates is causing investors and property owners to take a closer look at their plans for construction projects,” said AIA Chief Economist, Kermit Baker, Hon. AIA, PhD. “While this is producing delays for some projects under design, architecture firms are reporting that prospects for future project work remain generally positive.”

Key ABI highlights for February include:

• Regional averages: West (50.4); Midwest (48.8); Northeast (48.4); South (47.3)

• Sector index breakdown: mixed practice (57.0); institutional (46.9); commercial/industrial (45.8); multi-family residential (46.2)

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 detailed information about this, and past, AIA reports.

Architectural Billings Continue to Contract in 2023

nutterc@ReadingRock.com (Carolyn Nutter) — Thu, 23 Feb 2023 20:41:31 GMT

WASHINGTON – February 22, 2023 – Fewer architecture firms report declining billings in January compared to billing activity in December, according to a new report today from The American Institute of Architects (AIA).

AIA’s Architecture Billings Index (ABI) score for January was 49.3* compared to 48.4 in December (any score below 50 indicates a decline in firm billings). Last month’s score indicates overall revenue at U.S architecture firms continued to decline from December to January, however, the pace of decline slowed. Inquiries into new projects during January grew, with a score of 55.2 compared to 52.6 in December. The value of new design contracts also reflected an easing in the pace of decline, rising to a score of 53.4 in January from 50.0 the previous month.

“While the downturn in design activity extended to four months in January, there are signs of easing,” said AIA Chief Economist, Kermit Baker, Hon. AIA, PhD. “In particular, architecture firms reported that new project work has begun to increase, signifying that this decline in billings may reverse in the coming months.”

Key ABI highlights for January include:

• Regional averages: Midwest (51.6); West (51.3); Northeast (50.9); South (46.9)

• Sector index breakdown: mixed practice (56.0); institutional (48.6); commercial/industrial (46.8); multi-family residential (45.9)

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

*Every January the AIA research department updates the seasonal factors used to calculate the ABI, resulting in a revision of recent ABI values.

Visit AIA’s website for more ABI information.

Architecture Billings Continue to Decline

nutterc@ReadingRock.com (Carolyn Nutter) — Tue, 31 Jan 2023 21:30:37 GMT

WASHINGTON – January 25, 2023 – Demand for design services from U.S. architecture firms continued to contract in December, according to a new report from the American Institute of Architects (AIA).

The pace of decline during December slowed from November, posting an Architecture Billings Index (ABI) score of 47.5 from 46.6 (any score below 50 indicates a decline in firm billings). Inquiries into new projects posted a positive score of 52.3, however new design contracts remained in negative territory with a score of 49.4.

“Despite strong revenue growth last year, architecture firms have modest expectations regarding business conditions this coming year,” said AIA Chief Economist Kermit Baker, PhD, Hon. AIA. “With ABI scores for the entire fourth quarter of 2022 in negative territory, a slowdown in construction activity is expected later this year, though the depth of the downturn remains unclear.”

Key ABI highlights for December include:

• Regional averages: Midwest (49.4); South (48.6); Northeast (46.5); West (45.5)

• Sector index breakdown: mixed practice (54.8); institutional (47.3); commercial/industrial (45.2); multi-family residential (44.3)

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.

Design Service Demand Continues to Slow

nutterc@ReadingRock.com (Carolyn Nutter) — Mon, 19 Dec 2022 17:48:44 GMT

WASHINGTON – Dec. 14, 2022– Demand for design services from architecture firms continued to decrease in November, according to a new report from The American Institute of Architects (AIA).

The pace of decline during November accelerated from October, posting an Architecture Billings Index (ABI) score of 46.6 from 47.7 (any score below 50 indicates a decline in firm billings). The pace of inquiries into new projects slowed, but remained positive with a score of 52.0, however new design contracts remained in negative territory with a score of 46.9.

“Given the slowdown in new project work, many architecture firms will rely on their near record levels of backlogs to support revenue,” said AIA Chief Economist, Kermit Baker, Hon. AIA, PhD. “Still, firm leaders remain largely optimistic about future business trends. Almost two-thirds of architecture firms project that 2023 will be either a good year or great year for their firm.”

Key ABI highlights for November include:

• Regional averages: South (50.5); Midwest (47.6); West (45.8); Northeast (42.4)

• Sector index breakdown: mixed practice (51.5); institutional (47.7); multi-family residential (46.1); commercial/industrial (44.2)

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.

Demand for Design Services Decrease Considerably

nutterc@ReadingRock.com (Carolyn Nutter) — Fri, 18 Nov 2022 20:07:02 GMT

WASHINGTON – November 16, 2022 – Demand for design services from architecture firms softened considerably in October, according to a new report from The American Institute of Architects (AIA).

AIA’s Architecture Billings Index (ABI) score for October was 47.7, the first decline in billings since January 2021 (any score below 50 indicates a decline in firm billings). Inquiries into new projects continued to grow in October with a score of 52.3, while the value of new design contracts declined, with a score of 48.6.

“Economic headwinds have been steadily mounting, and finally led to weakening demand for new projects,” said AIA Chief Economist, Kermit Baker, Hon. AIA, PhD. “Firm backlogs are healthy and will hopefully provide healthy levels of design activity against fewer new projects entering the pipeline should this weakness persist.”

Key ABI highlights for October include:

• Regional averages: Midwest (50.8); South (50.6); Northeast (50.3); West (49.6)

• Sector index breakdown: institutional (54.3); mixed practice (50.8); multi-family residential (46.1); commercial/industrial (45.9)

Since the regional and sector categories are calculated as three-month moving averages, while the national billings index, design contracts and inquiries are reported as monthly numbers, the regional and sector scores may not always average out to the national score.

Visit AIA’s website for more ABI information .

Demand for Design Services Accelerates

nutterc@ReadingRock.com (Carolyn Nutter) — Fri, 28 Oct 2022 12:04:55 GMT

WASHINGTON –September 21, 2022 – Demand for design services from U.S. architecture firms grew at an accelerated pace in August, according to a new report today from The American Institute of Architects (AIA).

AIA’s Architecture Billings Index (ABI) score for August rose to 53.3 compared to 51.0 in July (any score above 50 indicates an increase in billings). During August, the score for new project inquiries rose to 57.9 from 56.1 the previous month, while the design contracts score softened slightly with a score of 52.3, down from 52.9 in July.

“While a strengthening billings score is encouraging, the flat scoring across regions and sectors is indicative of a nationwide deceleration over the next several months, said AIA Chief Economist, Kermit Baker, Hon. AIA, PhD. “A variety of economic storm clouds continue to gather, but since design activity continues to increase, we can expect at least another 9–12-month runway before building construction activity is negatively affected.”

• Regional averages: South (52.9); Midwest (51.4); West (50.2); Northeast (49.8)
• Sector index breakdown: multi-family residential (52.0); institutional (52.0); commercial/industrial (51.2); mixed practice (51.2)
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.

Valvoline Headquarters Plank Pavers by Reading Rock

Thu, 01 Sep 2022 12:10:51 GMT

The challenge

To provide an outdoor space for employees to gather by tying the architectural features of the building into the outside design. Landscape architecture firm, Element Design, was retained to help accomplish this goal. They set out to find a manufacturing partner who could provide a unique paver solution in a reasonable time and competitive price. Additionally, they would require careful detail by the installing contractor due to the fact these pavers would be installed during regular business hours and while the building was occupied.

The solution

As a manufacturer of custom dry and wet cast concrete products, Reading Rock’s sales, operations and production teams worked with Element Design to discuss possibilities. By listening to Element Design and their needs, Reading Rock determined they could help the team accomplish their goals.

The solution was inspired by the Valvoline logo and corporate office design which both showcase elongated elements. The final paver design, a 3”(H) x 6”(W) x 36”(L) custom paver and color blend, complements the aesthetic of the building’s exterior.

To minimize any disturbance and health hazards to the building occupants during installation, the contractor used a dustless saw that was stationed well away from the installation area. Polymeric sand and sealer were installed in small sections to ensure no overflow onto the building.

Reading Rock was able to optimize the design of the space by using their customization abilities to provide a paver that fulfilled the aesthetics desired and within budget.

The results

Download a PDF of this case study

The Yard Club – Grandview Heights, OH

Thu, 01 Sep 2022 11:59:57 GMT

The challenge

The new addition will serve as a key residential amenity and, therefore, had to look the part. Designers wanted a casual, contemporary style that complemented the surrounding buildings but also stood out. A mixed texture design was desired for the building in order to enhance interaction but also add to the visual depth. The majority of the clubhouse is giant, storefront windows. A product had to be chosen that would visually coincide with the many windows.

The solution

After an initially competitive bidding period, RockCast was chosen because of product flexibility and efficiency. In total, three styles and three colors were manufactured. The Savannah color blend features a combination of three colors. Reading Rock’s RockCast product in the Savannah three color blend provided the contemporary style and quality aesthetics desired.

In addition to the masonry veneer units, hand tamped custom cast stone units in the same color blends were used. A smooth shape was used to portray a clean and contemporary style, while a chiseled-face style represents a heaviness at the base of the building. The designers utilized a more intricate bond pattern above eye level to achieve a sophisticated and contemporary look. The Custom Cast Stone products were used for ornamental purposes and can be found on the window sills, seamlessly tying all the products together.

The results

Due to the fact that all three product styles were produced at the same local facility, selecting RockCast turned out to be a cost effective decision. The Yard Club opened on schedule and can now be used by residents to enjoy the pool, workout or simply catch up with neighbors. Reading Rock’s specialization in creating and developing colors helped create a perfect product for this project. A great design was implemented, making this luxury facility a tremendous amenity and great relaxing hang-out spot for the residents.

Download a PDF of this case study

Skyline Plaza Park

Thu, 01 Sep 2022 11:43:46 GMT

The sky’s the limit have never been truer spoken words when designing the rooftop green space for residence at Skyline Towers in Fort Wayne, Indiana. Open the attached Case Study to read more about this amazing space utilizing Allan Block retaining walls.

Download a PDF of this case study

Saddlebrook Golf Club

Thu, 01 Sep 2022 11:25:42 GMT

Saddlebrook Golf Club was an anchor for the neighborhood until it closed in 2015 due to a default on a loan. The neighborhood started a capitol campaign that allowed for Green Golf Partners, a golf course management group, to purchase Saddlebrook and bring it back to its former glory. During its closure, the greens, fairways and grounds were subject to extensive damage, requiring a lot of construction. One such feature was a tunnel that passed below 56th street and connected the 2 different sections of the course.

Green Golf coordinated with the city as 56th street runs above the tunnel to make the “unusable” tunnel functional again. The entrances to the tunnel consisted of old railroad tie timber walls that were in desperate need of repair.

Open the pdf file to read the entire story about this amazing transformation.

Download a PDF of this case study

Residential Design Achieving Consistent Aethetics

Thu, 01 Sep 2022 11:14:55 GMT

The challenge

The Kentucky house, known as Chateau Mon Reve, covers over 15,000 sq. ft. making it one of Reading Rock’s largest residential projects. For this job, the homeowner wanted products traditionally supplied for a commercial building rather than a residential home. Additionally, this was a very detailed home that required many products from both the Architectural Masonry Veneer Series (AMV) and RockCast Custom Cast Stone Series. These products require two different production methods and consistency in color needed to be achieved to provide the house with a professional and consistent look.

The solution

Having numerous internal product experts, Reading Rock was able to excel in the transition between the more common commercial job and residential construction. A Reading Rock engineer took a hands-on approach and worked at the construction site to oversee project development and to ensure that a first-class job was achieved. For instance, the balusters were made in custom molds to eliminate seams, and a non-traditional railing was created allowing the balusters to be manufactured at a uniform height.

Reading Rock is a national leader in innovative color blending and was able to provide a seamless color transition between the veneer and cast stone products. Being able to provide this transition between product lines opened the door to unlimited design flexibility.

The results

Using RockCast’s durable and sophisticated RockCast Slate color proved to be a more affordable option than limestone, but also gave the house a refined limestone look and feel. It is obvious that there were no restrictions to imagination for this project and that is what makes it so special. Everything from the Roman aqueduct inspired arched wall to the precise finishing touches make this one of the most talked about homes of the year. The Reading Rock staff worked tirelessly to provide an array of custom, ornamental pieces that the homeowners could be proud of.

Phillipsburg High School – Phillipsburgh, New Jersey

Thu, 01 Sep 2022 10:53:36 GMT

The challenge

The motto for Phillipsburg High School is; Prepared, Self-Confident, Distinguished. It was mandatory that those same characteristics be prevalent in their new 330,000 square foot building to support grades 9-12. The school is located on a geophysical fault line between limestone and bedrock. The structure was situated on the highest and most stable portion of the site. A mixed texture and design was needed on the exterior palette to reflect the same stability and texture as the rock foundation below its walls. This new building needed to provide an enjoyable environment for all who daily walked its halls.

The solution

Caliza Stone Series was chosen for the building façade due to its aesthetics and durability, durability that provides a benefit of reducing long-term maintenance. A dark monotone color in both smooth and split textured finishes was selected to represent the rock on which the building sits. This pattern of smooth and texture forms the base of the academic wings, rises up on the stair towers and accents other areas to assist in breaking up the mass of the building. The Caliza Stone units provided a stable base for both the structure and the aesthetic design of the campus.

The results

Students, faculty and administrative staff occupied their new school in September of 2016. This new building, with its organized and distinctive design, promotes pride in their environment and provides students with the atmosphere to grow in creativity and academics. Sitting atop a high elevation, with fantastic views of the surrounding community, the building’s design joins with nature in providing a visually enjoyable experience while on the campus.

Download a PDF of this case study:

Permeable Pavers & Retaining Walls Solution for Water Issues

Thu, 01 Sep 2022 10:02:30 GMT

The challenge

Water damage accounts for $11 billion in damages annually and is the second most filed insurance claim in the United States. The location of this home was unfavorable for inclement weather because it faced an uphill road and had another hill adjacent to the front of the house. This caused rain water to rush down the hill towards the front of the house and flood the front yard. The street drain could not accommodate the rush of water and debris quickly caused it to clog, allowing the runoff water to reach the property. The drain required constant monitoring and would elevate the flooding issues when it became blocked by leaf litter and other waste. The property’s ground pitch allowed water to stream down the hill adjacent to the house and instantly flood the driveway and basement, often sitting there for days.

The solution

A Reading Rock specification professional traveled to the home to personally evaluate the site and to find exactly where and why the problem was happening. After analyzing the site and developing a plan engineered to solve the flooding problem, the Reading Rock team member returned to the site on a rainy day to analyze how the water was flowing and how their idea could solve the problem. After witnessing all of this in person the team member was able to propose a multi-step solution to eliminate flooding and ponding of excess storm water.

It was understood that the non-absorbent asphalt driveway was adding to the extreme rain runoff so it was replaced with HydraBric permeable pavers. This product series drastically reduces flooding by providing storage under the surface of the pavers and allows water to filter through the soil directly on-site. The driveway was then expanded to include a sizable parking pad separating the front yard from the street. The extension to the driveway added room for additional parking and also prevented runoffs into the lawn that the storm drain could not contain. Permeability along the driveway pavers was further reinforced by placing river gravel behind the pavers. The gravel was installed to act as reassurance and has a large storage capacity in case some flood water might not dissipate through the pavers.

Lastly, a Europa Allan Block retaining wall was constructed alongside the home and driveway to prevents secondary runoffs from the hill running alongside the house. The retaining wall prevented flood waters from flowing down the hill onto the property and into the basement of the home.

The results

A traditional way to solve this problem would consist of water proofing the basement and adding water piping which would have been very expensive. The advised solution increased the home’s value. This non-traditional solution was a money saver that provided the house with an updated and visually pleasing look. Expert planning, consulting and execution led to an aesthetically pleasing landscape that is now much more functional.

Murphy Parkway, Powell, Ohio

Thu, 01 Sep 2022 09:50:16 GMT

The challenge

The town of Powell, Ohio was met with a growing need to update its roadways as an increasing population has been causing congestion and backup near major intersections. Extending Murphy Parkway was a great way to alleviate traffic from Four Corners intersection but faced a number of hurdles before the project could successfully be completed. One of the major obstacles was overcoming Tyler’s run, a water pass running through the desired route. Two new culverts, in addition to one remaining, were installed to maintain the water flow underneath the extension. A significant retaining wall had to be built around these culverts in order to securely support the overhead roadway and newly upgraded bike path.

The solution

City officials desired a gravity retention wall to provide more dependable structural support. To best accommodate the steep grade and aesthetic needs desired to complete this part of the extension, a ReCon retaining wall system was installed. Rather than a cast-in-place retaining wall, ReCon offered more flexibility, allowing for a curved design to be enacted that could support itself, relying solely on its own weight. At some sections of the bend, the retaining wall reached almost 20 ft. high and had to be embedded underground for additional support. Riprap was placed at the base of the wall to ensure erosion wouldn’t damage the structure in case of potential high-water. After preliminary designs and project surveys were conducted in accordance with our dedicated partners at EMH&T, construction of the Murphy Extension quickly got underway.

The results

This long-awaited project opened in late September, 2016 and highlights the cities dedication to roadway and capital improvements. The natural color and Weathered Edge look of the ReCon wall was a great addition to the parkway, and ties in seamlessly with the other numerous aesthetic landscape improvements along the addition.

The choice of the ReCon gravity retention wall sped up the construction process and was much easier to install, ensuring that the residents of Powell would be able to enjoy the benefits of the extension as soon as possible. Preparation for construction began in February, and the project was completed ahead of schedule nearly half a year later. In addition to being completed early, the city saved significantly in cost due to product choice. Murphy Parkway is a vital component in connecting the city’s growing population paths and has successfully freed up the Liberty and Olentangy Street intersection.

Download a PDF of this case study

Miami University, Armstrong Student Center

Thu, 01 Sep 2022 09:22:53 GMT

The challenge

Miami University recently opened the doors to a new $53M student union aimed to meet the needs of 21st century college students while also paying respect to the school’s 200 years of history and tradition. Nearly 60% of the Armstrong Student Center was funded through donations from alumni and loyal Miami University supporters. The school wanted to give thanks to those who made this remarkable achievement possible by recognizing them within the building. Miami University in Oxford, Ohio is the tenth oldest public university in the country and has amassed strong alumni support over the years. This is an important and unique element of the school that needed to be showcased throughout the design of the building. The 200,000 sq. ft. facility was designed to stay true to the university’s renowned Georgian architectural style. Overall, The Armstrong center needed a customized look to honor the past while also serving the future of Miami University students.

The solution

Etching the names in tile of those who donated money to the project was a perfect way to deliver a personal and customized thank you. It serves as a rare opportunity for individuals and families to show their Miami pride by having their donation be honored. These transformational tile units can be found along the iconic Slant Walk and around the university seal which serves as the focal point for the entire building. The personalized tile offered Miami University a timeless manner to recognize its past and stay true to its history. Reading Rock members personally provided the water jetting service, radius cutting, and took the tile to an engraver.

The Pietre Native collection from Casalgrande is modeled after natural stone and seamlessly fit in with Miami’s Georgian style campus. This product has an all gray color pallet and complimentary tile colors with over ten different shades and sizes. The Italian manufacturer had the depth of product availability to quickly deliver the tile to Oxford, Ohio. The flexibility of the tile is showcased in the main dining room where three colors are combined to create a fun, three-dimensional design. The amazingly detailed tile throughout the building provides a dramatic and playful entrance for students, alumni and visitors.

The results

Pietre Tile was an attractive choice for this project and Reading Rock was able to assure the most affordable option through value engineering, providing tile at under $4 per foot. This great deal resulted in a material and installation cost 25% under market value. With the product’s ease of maintenance additional savings will continue to be seen.

Kings Island- Cincinnati, OH

Thu, 01 Sep 2022 08:54:44 GMT

The challenge

Maintaining a business relationship for over 40 years is difficult and Reading Rock has faced many competitors from project to project during that time. When construction began on the original park, Kings Island needed to find a sturdy product to provide support for its large rides and attractions. Durability was not the only thing Kings Island needed; eye-catching designs and imaginative aesthetics are integral to the amusement park atmosphere and attracting guests. Most importantly, Kings Island needed someone they could trust year after year to deliver creative, customized, and continuously improved products.

The solution

This great partnership with Kings Island has been maintained due to customer service, practicality, and durability. Kings Island needed a flexible and structurally strong product, which Reading Rock did not have at the time, so one was made. Paverlock interlocking concrete pavers was introduced by Reading Rock to fulfill the needs of Kings Island, and is now an incredibly popular product for residential and commercial use.

Reading Rock’s color blends and mixtures have been a major part of the park. A black and white checkered paver was designed for Days of Thunder in 1999, and the diamondback color was introduced in 2009 for the nationally acclaimed Diamondback roller coaster.

Just like Kings Island has some of the fastest rides in the country, Reading Rock has one of the fastest turn times in the country. A large in-house inventory and three large production machines allow materials to quickly be delivered to the job site. This is critical for Kings Island because it reduces building time, and gives the park’s three million annual visitors time to enjoy a construction-free amusement park.

The results

Kings Island and Reading Rock have been together through the construction of 80 new rides and numerous record-breaking roller coasters. Due to the mid-price advantage offered by Reading Rock, costs have been up to a third less than what the competition has been able to offer. Both companies look forward to working with each other to deliver Cincinnati and visitors excitement for years to come.

Keystone Parkway- Indianapolis, IN

Thu, 01 Sep 2022 08:17:15 GMT

The challenge

When the City of Carmel, Indiana needed to add four exit ramps for the new elevated roundabout at Keystone Parkway & Main Street, they were faced with right of way restrictions. The close proximity of backyard property lines and existing utilities prevented excavation for geogrid reinforcements to ensure the proper installation of a conventional segmental retaining wall system. In order to preserve and protect the surrounding properties and not compromise or delay the project, the city took a proactive approach and sought a viable retaining wall alternative.

The City’s Consulting Engineer, American Structurepoint, considered using MSE Wall fascia panels supported by a H-pile and wood-lagged retention system which had been used on another section of the Keystone Parkway corridor. However, this option, which was estimated to cost in excess of $1.7 million, was the most expensive option and therefore was rejected due to budgetary concerns.

The solution

As an Engineered Wall Solution provider, Reading Rock, was able to present Charlie Gannon, Project Manager at Walsh Construction, with another option – ReCon Retaining Wall Systems. ReCon, a high performance tall gravity wall, is designed to eliminate th e time and cost associated with excavation and soil replacement when reinforcing geogrid is required. It’s unique tongue and grove lock and placement design combined with its massive size and weight proved to be the perfect solution.

Reading Rock worked closely with Civil Solutions Group (CSG) and Structures Hardscapes to optimize the design of the project and maximize installation efficiencies all while minimizing construction costs. Both companies have a national reputation for minimizing overall construction costs through use of creative and state of the art design concepts and construction practices.

The results

Using ReCon to elevate the roundabout at Keystone Parkway and Main Street provided the City of Carmel with a more cost effective wall solution and American Structurepoint liked it too! Never having used ReCon in the past, the firm, was delighted to learn that the big block wall was designed very similar to modular gravity wall block, making it easy to use and quick to install.

Download a PDF of this case study

Kenwood Towne Centre- Cincinnati, OH

Thu, 01 Sep 2022 08:01:54 GMT

The challenge

Kenwood Towne Center was built in 1956 and has had the same tile since opening. Kenwood wanted to improve the shopping experience of its 180 stores by creating a sleek updated look to attract new retailers and customers. The rising popularity of open-air shopping centers has pressured tradition style malls to replicate the feeling of being outdoors with enhanced natural lighting, resulting in a more intimate shopping experience. General Growth Properties was seeking new tile for common areas and the food court in efforts to brighten the mall, but did not want to compromise the upscale and relaxed atmosphere with standard products.

The solution

Designers in charge of the Kenwood Towne Centre renovation were very impressed with an internationally desired Italian tile called GranitiFiandre. Reading Rock is the Cincinnati tri-state area’s only Fiandre distributor and was able to deliver Kenwood with a sophisticated product that met and exceeded all restoration requirements. The premier tile line has a variety of styles and colors that emulate the marble effect Kenwood was seeking. White diamond accents were placed around the marble replica tile to bolster aesthetics and light reflective properties which enhanced sunlight.

The results

The reflective tile compliments the new skylights to achieve the desired lighter look that the 15 million customers can enjoy. Fiandre is an exceptional tile that can be found in the best malls across the world giving Kenwood Towne Centre a product that perfectly complements its upscale and relaxed atmosphere.

Hokie Stone- Virginia Tech University

Thu, 01 Sep 2022 07:38:25 GMT

The challenge

The university’s trademark- look is difficult to mimic because the school has exclusive rights over Hokie Stone, the predominant material in the façade of new buildings. Hokie Stone is a unique and rare natural stone, found only near Blacksburg, Virginia, and is solely quarried for Virginia Tech projects. Therefore, Hokie Stone is a very expensive product that is challenging to duplicate. The university wanted to find a manufactured stone that resembled Hokie Stone for smaller projects, such as masonry walls, at a reduced cost.

The solution

Reading Rock was able to collaborate with Virginia Tech and fulfill the customer’s wishes by creating a whole new product line, Muro Stone. This manufactured stone is a durable and cost-efficient alternative to natural stone, in part because of its long life cycle. Four different color blends were mixed together to create a customized stone that best matched the visual appearance of Hokie Stone. From this color mixture, the portions that best resembled Hokie Stone were handpicked and selected, making the perfect Hokie Stone replica.

The results

Virginia Tech was given an affordable customized alternative to Hokie Stone, which perfectly matched their campus style. The money saved was able to be used on other renovation projects across the school and “GL C” plaza was transformed into a welcoming and vibrant campus destination. Reading Rock now has the capability to produce volumn quantities of this customized product for future Virginia Tech and other projects.

NOTE: Our special order policy applies, volume quantities only, for this customized product.

Download a PDF of this case study

GRS Bridge Abutment

Wed, 31 Aug 2022 14:30:52 GMT

The challenge

The Hamilton County Highway Department required four bridges be replaced. The County wanted to engage in innovative construction of its infrastructure. Downtime of the bridges needed to be minimized to reduce impact to residents. The Federal Highway Administration (FHWA) standard for Geosynthetic Reinforced Soil (GRS) in an Integrated Bridge System (IBS) needed to be updated to allow consideration for alternate products. Alternate products would provide options for the county to save cost and reduced construction time.

The solution

Hamilton County, the engineering firms and Reading Rock consulted with the FHWA to educate and implement the modification of the construction techniques and standards to identify Allan Block Segmental Retaining Wall (SRW) units as an approved product.

Allan Block units met specification requirements and were installed in conjunction with Strata GRS 4800 and GRS 7200 geotextile product that reduced construction time to weeks versus months. By constructing a GRS-IBS system using SRW units, there was no need to install deep foundations or to pour concrete such as footings, abutments or wing walls, again reducing time and overall costs of the project.

The results

Hamilton County delivered a savings to its tax payers across all the bridge projects. The reinstallment of the bridges was completed within the strict time constraints. Additionally, the installation of the SRW system reduces future maintenance costs. Aesthetically the abutment is attractive. The entire system is flexible and coherent, all moving with the induced forces reducing the traditional “bump” drivers experience at each crossing.

GRS-IBS system allowed for the utilization of on-site soils which greatly reduced impact on the local environment. The GRS-IBS system will also work to prevent future soil erosion and undermining of the bridge structure.

Nationally, the FHWA continues to realize structures are built better, faster and for less by using a GRS-IBS system. Under the “Every Day Counts” initiative, dollars spent are kept within the local government providing significant cost savings. Local communities are able to improve the safety of their roadways with minimal financial impact to the residents.

Download a PDF of this case study

George Washington Middle School- Ridgewood, NJ

Wed, 31 Aug 2022 14:14:54 GMT

The challenge

George Washington was constructed in the 1920s and has a very historic and classic architectural appearance, including an abundance of brick. Unfortunately, the continuous evolution of building materials and construction has left many of the exterior structural components outdated. Since very few products from that time period are no longer in stock, many items would have to be custom made to match the school’s style.

The gymnasium renovation would have to emulate the pre-existing school building from both a color and style standpoint. Not only would the gym have to embody an old school look and appear historic, but it would have to have the strength and mechanical durability to last for future generations. As a result, a structural component needed to be created to support the brick veneer planned to canvas the addition.

The solution

Reading Rock is the only company in the cast stone industry that can combine all components, wet and dry, of cast stone to make it appear as if it was all manufactured the same way. This is made possible by advanced and innovative color blending methods monitored by in-house experts. Reading Rock provides unlimited design options regarding cast stone that combines old world craftsmanship and low maintenance, giving George Washington the flexibility to match the designs of both buildings. Cast stone products such as base panels, medallions, caps and bands blend decoration and functionality for a great final product.

RockCast’s Custom Cast Stone Series can be structural to support veneer, a feature necessary for this project. This series matches color and texture of architectural units without typical setbacks and allows for specialized anchoring with rebar, tie backs, weld plates, and other anchoring requirements. For this project, 13 large structural support arches, weighing over 10,000 pounds apiece, were created to provide the middle school with necessary structural support.

The result

Prior to the renovations, George Washington had one of the smallest gyms in the Ridgewood School District. The new custom-made gym is now one of the best in the district, even at the high school level. The addition has been applauded for its design and ability to accommodate the whole school during assemblies, something the previous gym could not do.

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Elder Baseball Stadium- Cincinnati, OH

Wed, 31 Aug 2022 13:58:03 GMT

The challenge

Elder baseball is the all-time leader in Ohio for state championships and wins, and steeped in a long history of tradition. The stadium needed to personify everything Elder’s program has achieved and the design needed to be modeled after the school’s unique castle look. A sixteen foot arch arch over the entrance was designed to greet visitors as they enter the stadium. This would be the largest cast stone arch Reading Rock has made and posed a challenge because it was designed not to be reinforced by structural metal. Construction on the unprecedented stadium began in April 2013 and the project aim was to have the stadium completed in time for the 2014 season, allowing just a year to finish the job.

The solution

Reading Rock’s experienced draft team designed and constructed a cast stone battlement (defensive top found on castle walls) that exemplified the distinct, gothic architecture of Elder High School. These battlements were placed on top of the turrets that flanked the cast stone arch, creating a memorable entrance to the field.

The result

Jack Adam Baseball Stadium is now the centerpiece of the Panther Athletic Complex and recognized as one of the best high school baseball facilities in the country. It has been called a premier stadium of the Midwest and celebrated for incorporating the school’s character into the design. Elder’s baseball team was able to play their 2014 home games in the new stadium finished on April 19, 2014.

DePauw University, Athletic Campus

Wed, 31 Aug 2022 13:49:29 GMT

The challenge

A $5M donation allowed DePauw University in Greencastle, Indiana to move forward with its comprehensive plan to enhance the student and athletic experience. The school’s Athletics and Recreation Facilities Master Plan was designed to strengthen the competitive and athletic quality of DePauw University by providing significant improvements to venues across campus.

One key aspect of the master plan was a 300,000 sq. ft. dual-function retaining wall that descends from the newly renovated athletic campus and Reavis Stadium. DePauw University was seeking a segmented retaining wall with a patterned look to preserve the aesthetics the 78-year-old campus has established. A standard for the wall had previously been specified using a competitor’s product so Reading Rock was faced with a challenge. Aside from securing the bid, numerous architectural revisions on the original plan had to be made due to major stability concerns that were found during the initial stages of the project. The original design consisted of a retaining wall that was straight standing, but this design was deemed unfit for the job site due to safety reasons. The main focus of the project continued to be establishing universal stability.

Further complications occurred regarding the geogrid layers after the original plan was finalized. Extension limits restricted the geogrid layers from extending the necessary distance away from the structure’s footing. Fear of undermining the stadium during construction would prohibit the final section of a tiered wall from being built.

The solution

Reading Rock consulted with the engineer and contractor showcasing the Allan Block’s Ashlar Collection as an equal to the competitor’s product. Reading Rock has been manufacturing Allan Block since 1988 and is the second largest producer in the world. This stylish and strong product would provide the necessary support in addition to the aesthetics desired for the project. A mockup of the wall was designed using the Allan Block and when it was presented to the university it left such a positive impression that this was the perfect solution.

A plan was devised to implement a seven-tiered retaining wall that utilized structurally supportive backfills and geogrid layers to combat the stability concerns. Having a terraced wall was visually intriguing and was able to accommodate a concrete staircase that inclined to the main plaza. This made the site much more accessible for students. The final segment of the terraced wall was constructed with a concrete cut placed beneath the final section, intercepting some areas of concern. This eliminated the dimensional geogrid concerns and allowed construction of the wall to continue with a fully sloped design.

The results

This outstanding tiered retaining wall connects all aspects of the newly renovated athletic campus. The wall will be planted with grass transforming it into a dual-performance structure that provides optimal seating to watch the nearby athletic events. DePauw University saved over $100,000 on the project because of the Allan Block product’s design differences and production rates. The retaining wall, along with the renovated athletic campus, is another example of DePauw’s steadfast commitment to providing championship quality venues.

Cincinnati Zoo- Cincinnati, OH

Wed, 31 Aug 2022 13:20:34 GMT

The challenge

The Cincinnati Zoo, always expanding, quickly found themselves developing new displays taking over the visitor parking lot. With attendance on the rise and parking becoming increasingly difficult for visitors, the Zoo purchased additional land with plans to relocate the entrance and add additional parking. Although acquiring the land allowed the Zoo to increase parking, exhibits and attractions, the challenge then became how to get visitors from the new parking lot, across busy street and into the Zoo which sat 22 ft. above the parking lot area.

The solution

ME Company designed a 25,000 sq. ft. AB Europa® segmental retaining wall which raised the site and supported a pedestrian bridge, allowing visitors to cross a busy street with no interruptions or safety concerns from city traffic. The wall also gave the zoo room for an expanded entry plaza and space to build the Historic Vine Street Village, a place where visitors can relax, shop and eat. This area is also the location for ticketing, guest relations, memberships and retail shops. Living up to it’s reputation as “the Greenest Zoo in America,” the Zoo sought after and achieved LEED NC Platinum certification for the village project, a first for the city of Cincinnati.

The results

Elevating the new entrance with the support from a tumbled ashlar patterned segmental retaining wall gives the appearance of hand-laid stones and the Zoo’s visitors a fresh and attractive new entrance while also allowing for easier access.

The new entrance had an added benefit as well – it enabled the zoo to continue it’s commitment to being green and preserving the environment. With the addition of the retaining wall, the zoo was able to expand its footprint and gain the additional space needed to collect and store rain water from underneath the permeable pavers that greets visitors as they enter the Zoo. There are over 30,000 sq. ft. of pavers that greet visitors as they enter the zoo which stores millions of gallons of rain water. Captured rainwater is used to irrigate the surrounding landscape.

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Bowie City Hall- Bowie, MD

Wed, 31 Aug 2022 13:09:42 GMT

The challenge

When designing and planning for their new City Hall, Bowie’s main goal was to pursue energy efficiency and LEED certification. LEED (Leadership in Energy and Environmental Design) is a green building certification program that is transforming how buildings are built and operated around the world. By achieving LEED certification, Bowie City Hall would be recognized as a best-in-class development by the U.S. Green Building Council. To earn this honor, the building must pass and excel in inspection of six categories; sustainable sites, water efficiency, energy and atmosphere, material and resources, indoor environmental quality, and innovation and design.

Not only did the city wish to gain LEED certification, they also wanted a customized color of stone that exemplified the city’s rich history.

The solution

As the need for environmental responsibility has grown, Reading Rock has applied resources to produce products of not only the best quality but products that are also best for our environment. Reading Rock proudly supports the fundamental values of green design and building. Bowie was provided local products that used recycled content. Reading Rock uses bi-products of other resources as additive in stone, limiting the amount of natural resources extracted from the Earth. All products for this project were excavated and manufactured within a 500 mile radius of the project site. This cut down freight costs and other negative environmental impacts related to transportation.

Reading Rock leads the way in implementing new green practices and uses low albedo in mix designs to obtain a lighter color palette, reducing the heat island effect. The light reflective quality of Reading Rock’s stone, as well as the naturally occurring color series, made it a perfect choice for Bowie. To deliver a unique color that Bowie could call their own, Bowie Blend was created. Bowie Blend, a modification of the Savanah shade, is a 4-color blend generated to match a sample of Earth extracted from Bowie.

The results

With help from Reading Rock’s LEED certified team, Bowie achieved their goal when the new City Hall earned LEED Gold Certification. Through innovative design and material combination, Bowie was able to save $10M in construction costs. City Hall was made with more than 20% recycled material, including reprocessed masonry and veneer products. In March of 2013, Bowie became the eighth city in the state to become Sustainable Maryland Certified in part because of City Hall’s Gold Certification.

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Bluegrass-Aspendale- Lexington, KY

Wed, 31 Aug 2022 12:44:58 GMT

The challenge

Ten acres (187,000 sq. ft.) of the Bluegrass-Aspendale project required storage and management of the increased runoff from roofs, sidewalks, drives and parking areas. With no available land for storage, Steve Garland, P.E. with Sherman Carter Barnhart (SCB) investigated several pavement resurfacing options that included: asphalt, porous pavement and permeable pavers. With a total of 12 parking lots to pave, the goal was to find an economical solution while meeting the needs of the site. The estimated project cost for traditional parking lots was $2.3M ($684K for asphalt, $1.5M for pipe system and $120K to address water quality issues). Porous pavement was investigated as a possible solution; however, it too was cost prohibitive and eliminated as a solution to the challenge.

The solution

SCB was able to manage and store increased runoff while also saving money when he incorporated permeable pavers into the project design. With land at a premium and society’s demand for more environmentally friendly solutions, paving the parking lots with permeable pavers was the most socially responsible option. The water quality generated by the aggregate (reported by 3rd party testing), met or exceeded EPA requirements therefore, requiring no additional treatment devices. Costing just $1M, (including the stone base, filter fabric for the detention and perforated pipe for edge and under drainage), permeable pavers was also the most economical solution for the project.

The results

Bluegrass-Aspendale’s permeable paver parking lots proved to be both an economical and environmental success; saving the project $1M, and today, serving as a model for future projects. The parking lot has also generated excitement from surrounding universities, municipalities and business leaders as they too are interested in implementing socially responsible applications in their communities.

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Abraham Baldwin Agricultural College

Wed, 31 Aug 2022 11:14:59 GMT

The challenge

King Hall, within the Abraham Baldwin Agricultural College, was undergoing renovations to accommodate 6 classrooms and 12 offices. The building was originally built at the turn of the century when ornamental accents were often made from wood. In addition to the challenge of replicating the ornate entry, there was a requirement to do so in a material that would not produce the ongoing maintenance issues which resulted in the degradation of the original wood portico.

The solution

RockCast Lightweight masonry was chosen, giving the design and installation team the opportunity to recreate the King Hall’s entrance to match the existing façade. The Lightweight profiles are produced with a foam core, encased in an engineered concrete coating, achieving the graceful aesthetic of natural stone. With a foam core, the accent pieces weighed 60%-80% less than natural or cast stone, allowing the designer to use a masonry product without having to structurally carry the weight.

Using the original accent pieces from the building’s entrance, the skilled craftsmen in the RockCast mold shop utilized a variety of materials and tools to build a mold to replicate the original wood accents. This task was challenging due to the extreme rotting and deterioration of the intricate wood carvings. Just as the original craftsmen had done, the talented mold builders at Reading Rock recreated the design by hand, resulting in a dazzling reproduction.

The results

Utilizing this innovative material in the design phase ensured an extraordinary outcome for the project. Selecting RockCast Lightweight provided the design team the ability to recognize their vision of authenticity while increasing durability of the entrance. All of this was achieved without the costly structural support typically associated with this type of stone construction.

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Pace of Demand for Design Services Rapidly Accelerates

Fri, 06 May 2022 10:40:02 GMT

Demand for design services in March expanded sharply from February according to recent report from The American Institute of Architects (AIA).

AIA’s Architecture Billings Index (ABI) score for March was 58.0, up from a score of 51.3 in February. Any score above 50 indicates an increase in billings. During March, scoring for both new project inquiries and design contracts expanded, posting scores of 63.9 and 60.5, respectively.

“The spike in firm billings in March may reflect a desire to beat the continued interest rate hikes expected in the coming months,” said AIA Chief Economist, Kermit Baker, Hon. AIA, PhD. “However, since project backlogs at architecture firms have reached seven months, a new all-time high, it appears that firms are having a difficult time keeping up with this uptick in demand for design services.”

Key ABI highlights for March include:

Regional averages: South (57.2); Midwest (56.2); West (54.0); Northeast (46.3)
Sector index breakdown: mixed practice (58.2); multi-family residential (57.2); commercial/industrial (55.3); institutional (50.5)

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

Full Press Release

2022 Begins with Slight Improvements in Business Conditions for Architecture Firms

Tue, 29 Mar 2022 10:35:13 GMT

Architecture firms began 2022 with a slight improvement in business conditions, according to the January report from the AIA. AIA’s ABI score for January was 51.0 compared to 51.0* in December (any score over 50 indicates billings growth).

Demand for design services continued to grow slightly in February with an AIA’s ABI score of 51.3. Firms reported both project inquiries and design contracts remaining positive in February, but while project inquiries increased to 62.5 from 61.9 in January, design contracts decreased to 55.2 from 56.1 in February.

Key ABI highlights for January include:

Regional averages: South (61.2); Midwest (51.5); West (47.6); Northeast (46.8)
Sector index breakdown: mixed practice (59.3); commercial/industrial (54.2); multi-family residential (50.1); institutional (47.3)
Project inquiries index: 61.9
Design contracts index: 56.1

Key ABI highlights for February include:

Regional averages: South (58.6); Midwest (53.2); West (47.9); Northeast (44.3)
Sector index breakdown: commercial/industrial (55.4); mixed practice (53.8); multi-family residential (52.6); institutional (47.2)
Project inquiries index: 62.5
Design contracts index: 55.2

Full Press Release

* Every January the AIA research department updates the seasonal factors used to calculate the ABI, resulting in a revision of recent ABI values.

Allan Block Retaining Wall & Block Plant Add Expanded Territory for Reading Rock

Mon, 31 Jan 2022 11:29:48 GMT

Starting in April, Reading Rock will be producing Allan Block retaining wall products and concrete block in our newly acquired plant in Champaign, Illinois.

This new plant provides Reading Rock the opportunity to improve partnerships in our existing IL & WI market as well as expand distribution of Allan Block products into Eastern Iowa and Northeast Missouri. As a family-owned manufacturer and supplier of building materials for over 70 years, Reading Rock is looking forward to offering this expanded territory quality Allan Block product solutions for any project.

With a focused Purpose: To help support and finance the initiatives of International Rett Syndrome Foundation; and, grounded by our ROCKS Core Values, it is more than just our products; it is our people that differentiate Reading Rock from other suppliers. The team leading and operating this Illinois location are more than experienced with over 60 combined years of manufacturing concrete products experience and knowledge.

From the plant floor to the job site, our dedication to service stems from our passion to provide the right products and services on time, every time! We invite you to contact us for your outdoor living solutions and look forward to helping you make your next project a success!

Reading Rock Hearth Showroom Now at Both Columbus & Newark Locations

Mon, 31 Jan 2022 11:25:10 GMT

Our Pickerington hearth showroom will be consolidated to our locations at 1150 Sullivant Avenue in Columbus and 130 N. Cedar Street in Newark. These locations will have hearth products on display starting in March, 2022. Fireplace products and other outdoor accessories will be displayed and burning at these locations to assist with your project selections.

This change provides Reading Rock the opportunity to improve partnerships in the Greater Columbus and Newark regions so you can make all product selections under one roof. Brick, stone veneer, fireplaces, outdoor living and other building material accessories are all available and on display at these locations. As a family-owned manufacturer and supplier of building materials for over 70 years, Reading Rock looks forward to offering this expanded service and making it easier to find all the solutions for your projects.

With a focused Purpose: To help support and finance the initiatives of International Rett Syndrome Foundation; and, grounded by our ROCKS Core Values, it is more than just our products; it is our people that differentiate Reading Rock from other suppliers. The team members leading this initiative are still the same.

From a project’s start to finish, our dedication to service stems from our passion to provide the right products and services on time, every time! We invite you to contact us for all your building material solutions and look forward to helping you make your next project a success!

Architecture Firms end 2021 on a Strong Note

Mon, 31 Jan 2022 11:23:09 GMT

WASHINGTON – Jan. 19, 2021 – As architecture firms ended 2021 on a high note with strong business conditions, staff recruitment is becoming a growing concern among firms.

December’s Architectural Billings Index (ABI) score of 52.0 was an increase from 51.0 in November (any score over 50 indicates billings growth). Despite a variety of concerns related to the omicron variant, labor shortages, and rising prices as well as limited availability of construction materials, firms continued to report a robust supply of work in the pipeline. Inquiries into new work and the value of new design contracts both remained strong, and backlogs, at an average of 6.5 months, remained near their highest levels since the AIA began tracking this metric in 2010.

“Since demand for design projects has been healthy over the last year, recruiting architectural staff to keep up with project workloads has been a growing concern for firms,” said AIA Chief Economist, Kermit Baker, Hon. AIA, PhD. “Architecture is one of the few industries where payrolls have already surpassed their pre-pandemic high, so meeting future staffing needs is a challenge that most firms will need to confro nt.

Key ABI highlights for December include:

• Regional averages: South (56.4); Midwest (51.0); West (47.5); Northeast (45.3)
• Sector index breakdown: mixed practice (60.6); multi-family residential (49.2); commercial/industrial (49.2); institutional (47.6)

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.

Demand for Design Services Continues to Grow

Thu, 16 Dec 2021 11:20:12 GMT

WASHINGTON – Dec. 15 2021 – Architecture firms reported increasing demand for design services for the tenth consecutive month in November, according to a new report today from The American Institute of Architects (AIA).

The ABI score for November was 51.0, down from 54.3 the previous month. While this score is down slightly from October’s score, it still indicates positive business conditions overall (any score above 50 indicates billings growth). During November, scoring for both the new project inquiries and design contracts moderated slightly, but remained in positive territory, posting scores of 59.4 and 55.8 respectively.

“The period of elevated billing scores nationally, and across the major regions and construction sectors seems to be winding down for this cycle,” said AIA Chief Economist, Kermit Baker, Hon. AIA, PhD. “Ongoing external challenges like labor shortages, supply chain disruptions, spiking inflation, and prospects for rising interest rates will likely continue to slow the growth in firm billings in the coming months.”

Key ABI highlights for November include:

• Regional averages: Midwest (57.6); South (53.7); West (50.9); Northeast (45.5)
• Sector index breakdown: mixed practice (56.9); multi-family residential (51.4); commercial/industrial (50.5); institutional (50.1)

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.

Demand for Design Services Moderates but Remains Strong

Fri, 19 Nov 2021 11:16:04 GMT

WASHINGTON – Nov. 17 2021 – Architecture firms reported increasing demand for design services in October, according to a new report today from The American Institute of Architects (AIA).

The ABI score for October was 54.3. While this score is down slightly from September’s score of 56.6, it still indicates very strong business conditions overall (any score above 50 indicates an increase in billings from the prior month). During October, scoring for both the new project inquiries and design contracts expanded, posting scores of 62.9 and 58.0 respectively.

“Unlike the economy-wide payroll figures, architecture services employment has surpassed its pre-pandemic high,” said AIA Chief Economist, Kermit Baker, Hon. AIA, PhD. “Staffing continues to be a growing concern at architecture firms and may serve to limit their ability to take on new projects.”

Key ABI highlights for October include:

• Regional averages: Midwest (61.9); South (58.2); West (53.4); Northeast (48.6)
• Sector index breakdown: mixed practice (58.7); commercial/industrial (57.4); multi-family residential (55.8); institutional (51.4)

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.

Demand for Design Activity Continues to Expand

Wed, 18 Aug 2021 10:12:25 GMT

WASHINGTON – Aug. 18, 2021 – The Architecture Billings Index (ABI) recorded its sixth consecutive positive month, according to a new report today from The American Institute of Architects (AIA).

The ABI score for July was 54.6. While this was down slightly from June’s score of 57.1, it still indicates very strong business conditions overall (any score above 50 indicates an increase in billings from the prior month). Scoring for new project inquiries also declined in July but remained near its all-time high at 65.0. The score for new design contracts was essentially unchanged from June to July with a score of 58.0.

“In prior business cycles, architecture firms generally saw their project work soften quickly and then recover slowly,” said AIA Chief Economist, Kermit Baker, Hon. AIA, PhD. “So the strength of this recovery is unprecedented. Firm leaders who have leaned into this economic upturn by reinvesting in their firms by hiring staff and upgrading their technology, will likely have a better year than those that anticipated a slower recovery.”

Key ABI highlights for July include:

Regional averages: Midwest (58.3); West (56.0); South (54.6); Northeast (54.1)
Sector index breakdown: commercial/industrial (58.4); institutional (55.4); multi-family residential (54.7); mixed practice (54.4)

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

To learn more about recent economic developments impacting design and construction, visit AIA’s website .

Architecture Billings Index Robust Growth Continues

Wed, 21 Jul 2021 10:09:07 GMT

WASHINGTON – July 21, 2021 – Architecture firms reported increasing demand for design services in June according to a new report today from The American Institute of Architects (AIA).

AIA’s Architecture Billings Index (ABI) score for June remained at an elevated level of 57.1 in June (any score above 50 indicates an increase in billings). During June, the new design contracts score also remained positive at 58.9 but was not quite as strong as the 63.2 reading in May. New project inquiries logged another near-record high score at 71.8, compared to 69.2 in May.

“With the current pace of billings growth near the highest levels ever seen in the history of the index, we’re expecting a sharp upturn in nonresidential building activity later this year and into 2022,” said AIA Chief Economist Kermit Baker, Hon. AIA, PhD. “However, as is often the case when market conditions make a sudden reversal, concerns are growing about architecture firms not being able to find enough workers to meet the higher workloads. Nearly six in 10 firms report that they are having problems filling open architectural staff positions.”

Key ABI highlights for June include:

Regional averages: Midwest (62.0); West (59.7); South (57.3); Northeast (53.2)
Sector index breakdown: commercial/industrial (61.0); multi-family residential (57.9); institutional (57.3); mixed practice (56.4)
Project inquiries index: 71.8
Design contracts index: 58.9

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.

Architecture Billings Continue Historic Rebound

Wed, 23 Jun 2021 10:05:36 GMT

WASHINGTON – June 23, 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.

“Despite ballooning costs for construction materials and delivery delays, design activity is roaring back as more and more places reopen,” said AIA Chief Economist Kermit Baker, Hon. AIA, PhD. “However, concern over rising inflation and ongoing supply chain disruptions, as well as emerging labor shortages, could dampen the emerging construction recovery.”

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.

Demand Signals Construction is Recovering

Wed, 19 May 2021 10:00:32 GMT

WASHINGTON – May 19, 2021 – Continuing its meteoric rebound, the Architecture Billings Index (ABI) recorded its third consecutive month of positive billings, according to a new report today from The American Institute of Architects (AIA).

AIA’s ABI score for April rose to 57.9 compared to 55.6 in March (any score above 50 indicates an increase in billings). Neither score has been achieved since before the Great Recession. During April, new project inquiries and new design contracts reached record highs with scores of 70.8 and 61.7 respectively.

“This recent acceleration in the demand for design services demonstrates that both consumers and businesses are feeling much more confident about the economic outlook,” said AIA Chief Economist Kermit Baker, Hon. AIA, PhD. “The pent-up demand for new and retrofitted facilities is keeping architecture firms in all regions and building sectors busy.”

Key ABI highlights for April include:

Regional averages: Midwest (60.6); South (58.3); Northeast (55.0); West (52.4)
Sector index breakdown: commercial/industrial (59.1); multi-family residential (56.9); institutional (56.7); mixed practice (55.0)
Project inquiries index: 70.8
Design contracts index: 61.7

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.

Demand for Design Services Continues to Rapidly Escalate

Wed, 21 Apr 2021 09:53:50 GMT

WASHINGTON – April 21, 2021 – Strengthening to a score not seen since pre-Great Recession, the Architecture Billings Index (ABI) logged its second positive mark since the beginning of the pandemic, according to a new report today from The American Institute of Architects (AIA).

AIA’s ABI score for March rose to 55.6 compared to 53.3 in February (any score above 50 indicates an increase in billings). Scores for both new projects inquiries and new design contracts strengthened to 66.9 and 55.7 respectively. March also marked the first time in three years all building sectors and regions posted positive scores.

“As business activity at architecture firms moves sharply toward recovery, it is very encouraging to simultaneously see such positive indicators of future project work increasing in the pipeline,” said AIA Chief Economist, Kermit Baker, Hon. AIA, PhD. “The activity architecture firms are seeing is a positive bellwether not only for the construction outlook, but also for the larger economy. ”

Key ABI highlights for March include:

Regional averages: Midwest (56.5); South (55.8); West (52.8); Northeast (50.8)
Sector index breakdown: commercial/industrial (57.0); mixed practice (54.9); institutional (54.4); multi-family residential (52.6)
Project inquiries index: 66.9
Design contracts index: 55.7

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.

Architecture Billings Climb into Positive Territory After a Year of Monthly Declines

Wed, 24 Mar 2021 10:49:26 GMT

WASHINGTON – March 24, 2021 – Continuing the positive momentum of a nearly three-point bump in January, the Architecture Billings Index (ABI) reached its first positive mark since February 2020, according to a new report today from The American Institute of Architects (AIA).

AIA’s ABI score for February was 53.3 compared to 44.9 in January (any score above 50 indicates an increase in billings). February also marked the first time the design contract score rose back into positive territory since the pandemic began with a score of 51.6 compared to 48.8 in January. The new project inquiries score for February reached a 22-month high water mark with a score of 61.2 compared to 56.8 in January.

“Hopefully, this is the start of a more sustained recovery. It is possible that scores will continue to bounce above and below 50 for the next few months, as recoveries often move in fits and starts,” said AIA Chief Economist, Kermit Baker, Hon. AIA, PhD. “Beyond the encouraging billing data, architecture employment added 700 new positions in January and has now regained 45 percent of the jobs that were lost since the beginning of the pandemic.”

Key ABI highlights for February include:

Regional averages: South (52.4); West (49.5); Midwest (49.3); Northeast (46.9)
Sector index breakdown: mixed practice (52.5); commercial/industrial (50.5); multi-family residential (48.3); institutional (47.8)
Project inquiries index: 61.2
Design contracts index: 51.6

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.

Architectural Billings Continue to Contract in 2021

Wed, 24 Feb 2021 10:45:37 GMT

WASHINGTON – Feb. 24, 2021 – A slight improvement in business conditions has led to fewer architecture firms reporting declining billings, according to a new report today from The American Institute of Architects (AIA).

AIA’s Architecture Billings Index (ABI) score for January was 44.9* compared to 42.3 in December (any score below 50 indicates a decline in firm billings). Last month’s score indicates overall revenue at U.S architecture firms continued to decline from December to January, however, the pace of decline slowed. Inquiries into new projects during January grew for the second month in a row, with a score of 56.8 compared to 51.7 in December. The value of new design contracts also reflected an easing in the pace of decline, rising to a score of 48.8 in January from 47.0 the previous month.

“The broader economy entered a soft spot during the fourth quarter of last year, and business conditions at design firms have reflected this general slowdown,” said AIA Chief Economist, Kermit Baker, Hon. AIA, PhD. “While federal stimulus and the increasing pace of vaccinations may begin to accelerate progress in the coming months, the year has gotten off to a slow start, with architecture firms in all regions of the country and in all specializations reporting continued declines in project billings.”

Key ABI highlights for January include:

Regional averages: South (47.4); West (42.8); Midwest (42.2); Northeast (41.9)
Sector index breakdown: mixed practice (47.9); multi-family residential (44.4); commercial/industrial (44.3); institutional (39.9)
Project inquiries index: 56.8
Design contracts index: 48.8

The regional and sector categories are calculated as a three-month moving average, whereas the national index, design contracts and inquiries are monthly numbers. To learn more about recent economic developments impacting design and construction, visit AIA’s website .

February’s Billings Score Stayed Positive Before the Impact of COVID-19

Sat, 13 Feb 2021 10:42:15 GMT

Demand for design services in February increased at a solid pace for the sixth month in a row, according to a new report today from AIA. AIA’s ABI score of 53.4 for February reflects an increase in design services provided by U.S. architecture firms (any score above 50 indicates an increase in billings). During February, both the new project inquiries and design contracts scores moderated slightly but remained in positive territory, posting scores of 56.5 and 52.0 respectively.

“Business conditions at architecture firms have been surprisingly positive so far this year. However, firms were just beginning to feel the impact of the dramatic slowdown caused by COVID-19 as this survey was being conducted in early March.” said AIA Chief Economist, Kermit Baker, Hon. AIA, PhD. “The rapid pull-back in activity throughout the economy will obviously be felt in the design and construction sector, and architecture firms will be one of the first to see how these events play out.”

Key ABI highlights for February include:

Regional averages: South (58.0); Midwest (53.6); West (49.8); Northeast (49.4)
Sector index breakdown: multi-family residential (53.5); institutional (52.8); mixed practice (52.7); commercial/industrial (52.4)
Project inquiries index: 56.6
Design contracts index: 52.0

Architectural Billings Continue to Lose Ground

Wed, 20 Jan 2021 10:39:06 GMT

WASHINGTON – Jan. 20, 2021 – Demand for design services from U.S. architecture firms took a pointed dip last month, according to a new report from the American Institute of Architects (AIA).

The pace of decline during December accelerated from November, posting an Architecture Billings Index (ABI) score of 42.6 from 46.3 (any score below 50 indicates a decline in firm billings). Meanwhile, the pace of growth of inquiries into new projects remained flat from November to December with a score of 52.4, though the value of new design contracts stayed in negative territory with a score of 48.5.

“Since the national economic recovery appears to have stalled, architecture firms are entering 2021 facing a continued sluggish design market,” said AIA Chief Economist Kermit Baker, PhD, Hon. AIA. “However, the recently passed federal stimulus funding should help shore up the economy in the short-term, and hopefully by later this year there should be relief as COVID vaccinations become more widespread. Recent project inquiries from prospective and former clients have been positive, suggesting that new work may begin picking up as we move into the spring and summer months.”

Key ABI highlights for December include:

Regional averages: South (46.8); Midwest (43.6); West (43.4); Northeast (38.8)
Sector index breakdown: mixed practice (48.0); commercial/industrial (47.2); multi-family residential (46.1); institutional (38.5)
Project inquiries index: 52.4
Design contracts index: 48.5

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 .

Architecture Billings Lose Ground in November

Wed, 16 Dec 2020 10:11:47 GMT

WASHINGTON – Dec. 16, 2020 – Architecture firm billing activity is contracting once again after two months of a slowing decline, according to a new report from the American Institute of Architects (AIA).

The pace of decline during November accelerated from October, posting an Architecture Billings Index (ABI) score of 46.3 from 47.5 (any score below 50 indicates a decline in firm billings). The pace of inquiries into new projects slowed, but remained positive with a score of 52.0, however the value of new design contracts dipped back into negative territory with a score 48.6.

“In previous design cycles, we typically haven’t seen a straight line back to growth after a downturn hits,” said AIA Chief Economist, Kermit Baker, Hon. AIA, PhD. “The path to recovery is shaping up to be bumpier than we hoped for. While there are pockets of optimism in design services demand, the overall construction landscape remains depressed.”

Key ABI highlights for November include:

Regional averages: Midwest (50.1); West (48.3); South (46.7); Northeast (38.7)
Sector index breakdown: multi-family residential (52.2); mixed practice (49.5); commercial/industrial (47.5); institutional (41.9
Project inquiries index: 52.0
Design contracts index: 48.6

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.

Architectural Billings Remained Stalled in October

Wed, 18 Nov 2020 10:07:51 GMT

WASHINGTON – Nov. 18, 2020 – While architectural billings failed to show much progress during October, signs of improving business conditions at firms have emerged, according to a new report from the American Institute of Architects (AIA).

The pace of decline during October remained at about the same level as in September, posting an ABI score of 47.5 (any score below 50 indicates a decline in firm billings). Meanwhile, firms reported a modest increase in new project inquiries—growing from 57.2 in September to 59.1 in October—and newly signed design contracts jumped into positive territory for the first time since the pandemic began, with a score of 51.7.

“Though still in negative territory, the moderating billings score along with the rebound in design contracts and inquiries provide some guarded optimism,” said AIA Chief Economist Kermit Baker, PhD, Hon. AIA. “The pace of recovery will continue to vary across regions and sectors.”

Key ABI highlights for October include:

Regional averages: West (50.4); Midwest (49.4); South (45.8); Northeast (44.9)
Sector index breakdown: multi-family residential (55.1); mixed practice (52.7); commercial/industrial (48.0); institutional (42.2)
Project inquiries index: 59.1
Design contracts index: 51.7

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

To learn more about recent economic developments impacting design and construction, visit AIA’s website.

Business Conditions Slowly Recovering

Wed, 21 Oct 2020 09:03:13 GMT

WASHINGTON – Oct. 21, 2020 – A slight improvement in business conditions has led to fewer architecture firms reporting declining billings, according to a new report today from The American Institute of Architects (AIA).

AIA’s ABI score for September was 47.0 compared to 40.0 in August (any score below 50 indicates a decline in firm billings). Last month’s score indicates overall revenue at U.S architecture firms continued to decline from August to September, however, the pace of decline slowed significantly. Inquiries into new projects during September grew for the second time since February, with a score of 57.2 compared to 51.6 in August. The value of new design contracts moderated to a score of 48.9 in September from 46.0 the previous month.

“Despite the multi-family residential sector showing signs of improvement, overall business conditions are recovering at a disappointingly slow pace,” said AIA Chief Economist, Kermit Baker, Hon. AIA, PhD. “Other sectors may begin to stabilize in the coming months, but across the board improvement shouldn’t be expected until the economic impact of the pandemic subsides significantly.”

Key ABI figures for September include:

Regional averages: Midwest (45.6); West (45.6); South (43.7); Northeast (41.5)
Sector index breakdown: multi-family residential (54.0); mixed practice (47.3); commercial/industrial (43.3); institutional (40.5)
Project inquiries index: 57.2
Design contracts index: 48.9

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.

Architectural billings failed to show any progress during July, and business conditions continued to be soft at firms, according to a new report from the AIA. The pace of decline during July remained

Wed, 23 Sep 2020 08:58:51 GMT

WASHINGTON – Sept. 23, 2020 – Business conditions remained stalled at architecture firms during August as demand for design services continued to decline, according to a new report from the American Institute of Architects (AIA).

The pace of decline during August remained at about the same level as in July and June, posting an Architecture Billings Index (ABI) score of 40.0 (any score below 50 indicates a decline in firm billings). Inquiries into new projects during August grew for the first time since February, and the value of new design contracts increased to a score of 46.0. As a result, fewer firms reported a decline in August, despite the fact that they remained negative overall.

“Unfortunately, since the start of the COVID-19 pandemic, many architecture firms are finding fewer inquiries that convert to billable projects,” said AIA Chief Economist, Kermit Baker, Hon. AIA, PhD. “While fewer firms reported declining billings in August than during the early months of the COVID-19 pandemic, the fact that the score has been unchanged for the last three months shows that the recovery from this downturn is not progressing at the pace we had hoped to see.”

Key ABI figures for August include:

Regional averages: Midwest (41.7); South (41.6); West (41.3); Northeast (33.9)
Sector index breakdown: multi-family residential (49.4); mixed practice (41.9); institutional (40.2); commercial/industrial (35.5)
Project inquiries index: 51.6
Design contracts index: 46.0

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.

ABI Pace of Decline Remains Steady into July

Wed, 15 Jul 2020 08:55:37 GMT

Architectural billings failed to show any progress during July, and business conditions continued to be soft at firms, according to a new report from the AIA. The pace of decline during July remained at about the same level as in June with both months posting an ABI score of 40.0 (any score below 50 indicates a decline in firm billings). While firms reported a modest decline for inquiries into new projects—slipping from 49.3 in June to 49.1 in July— newly signed design contracts declined more critically, falling from a June level of 44.0 to 41.7 in July.

“It’s clear the pandemic continued to contribute to uncertainty in business conditions, especially as cases spiked in states across the country,” said AIA Chief Economist Kermit Baker, PhD, Hon. AIA. “While clients expressed interest in exploring new projects, many are hesitant to sign onto new contracts with the exception of the multifamily residential sector, which came close to seeing billings growth in July.”

Key ABI figures for July include:

Regional averages: West (40.9); South (40.7); Midwest (40.1); Northeast (36.8)
Sector index breakdown: multifamily residential (47.5); mixed practice (44.0); institutional (39.5); commercial/industrial (35.4)
Project inquiries index: 49.1
Design contracts index: 41.7

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Mon, 13 Jul 2020 08:52:54 GMT

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June ABI’s Show Stabilization Coming

Tue, 16 Jun 2020 08:48:32 GMT

Demand for design services from architecture firms began to stabilize in June, following their peak declines in April, according to a new report today from the AIA. AIA’s ABI score for June was 40.0 compared to 32.0 in May. The May ABI score indicates that a significant share of architecture firms still saw their billings decline from May to June, however the share reporting declines slowed significantly. Index scores for new project inquiries and new design contracts also showed signs of stabilizing, posting scores of 49.3 and 44.0 respectively.

“While business conditions remained soft at firms across the country, those with a multifamily residential specialization saw the most positive signs,” said AIA Chief Economist Kermit Baker, PhD, Hon. AIA. “Unfortunately, conditions at firms with a commercial/industrial specialization are likely to remain weak for an extended period of time, until hospitality, office and retail facilities can fully reopen, and design demand for this space begins to increase.

Key ABI figures for June include:

Regional averages: Midwest (36.8); West (36.8); South (35.9); Northeast (34.2)
Sector index breakdown: multi-family residential (44.7); institutional (38.9); mixed practice (35.3); commercial/industrial (30.1)
Project inquiries index: 49.3
Design contracts index: 44.0

May’s Demand for Design Services Saw Few Signs of Rebounding

Wed, 13 May 2020 08:44:14 GMT

Demand for design services in May saw few signs of rebounding following a record drop in billings the month prior, according to a new report today from the AIA. AIA’s ABI score for May was 32.0 compared to 29.5 in April, but still represents a significant decrease in services provided by U.S. architecture firms (any number below 50 indicates a decrease in billings). In May, the decline in new project inquiries and design contract scores moderated from April, posting scores of 38.0 and 33.1, respectively.

“A large portion of the design and construction industry remains mired in steep cutbacks as many businesses and organizations are still trying to figure out what actions make sense in this uncertain economic environment,” said AIA Chief Economist Kermit Baker, Hon. AIA, PhD. “There are growing signs of activity beginning to pick up in some areas, but others are seeing a pause as pandemic concerns continue to grow.”

Key ABI figures for May include:

Regional averages: West (36.0); South (30.6); Midwest (29.7); Northeast (25.1)
Sector index breakdown: institutional (35.7); multi-family residential (34.8); mixed practice (28.5); commercial/industrial (24.8)
Project inquiries index: 38.0
Design contracts index: 33.1

April’s New Project Inquiries & Design Contract Scores Decline

Tue, 14 Apr 2020 08:40:16 GMT

Demand for design services in April saw its steepest decline on record, according to a new report today from the AIA. AIA’s ABI score of 29.5 for April reflects a decrease in design services provided by U.S. architecture firms (any number below 50 indicates a decrease in billings). During April, both the new project inquiries and design contracts scores also declined significantly, posting scores of 28.4 and 27.6, respectively.

“With the dramatic deceleration that we have seen in the economy since mid-March, it’s not surprising that businesses and households are waiting for signs of stability before proceeding with new facilities,” said AIA Chief Economist Kermit Baker, Hon. AIA, PhD. “Once business activity resumes, demand for design services should pick up fairly quickly. Unfortunately, the precipitous drop in demand for design services will have lasting consequences for some firms.”

Key ABI figures for April include:

Regional averages: West (38.1); Midwest (31.2); South (31.1); Northeast (23.0)
Sector index breakdown: institutional (36.1); multi-family residential (30.3); mixed practice (29.0); commercial/industrial (27.8)
Project inquiries index: 28.4
Design contracts index: 27.6

Strong Start for 2020

Mon, 23 Mar 2020 09:25:58 GMT

Starting the year on a strong note, architecture firm billings strengthened slightly in January, according to a new report dated 2/19/2020 from the AIA. AIA’s ABI score of 52.2 for January compared to 52.1* in December reflects an increase in design services provided by U.S. architecture firms (any score above 50 indicates an increase in billings). Indicators of work in the pipeline, including new project inquiries and new design contracts remained positive, posting scores of 57.9 and 56.0 respectively.

“Despite the continued presence of volatility in the economy, design activity has begun to accelerate in recent months,” said AIA Chief Economist, Kermit Baker, Hon. AIA, PhD. “Even with the ongoing challenges facing the nonresidential construction sector, this upturn points to at least modest growth over the coming year.”

*Every January the AIA research department updates the seasonal factors used to calculate the ABI, resulting in a revision of recent ABI values.

Key ABI highlights for January include:

Regional averages: South (56.7); West (52.1); Midwest (51.3); Northeast (45.3)
Sector index breakdown: mixed practice (51.6); commercial/industrial (51.5); multi-family residential (51.2); institutional (51.1)
Project inquiries index: 57.9
Design contracts index: 56.0

Special Survey Results of Impact of COVID-19 on US Architecture Firms

Sun, 22 Mar 2020 09:36:18 GMT

Last week the AIA conducted a special survey of its ABI survey panel, asking them about the immediate and short-term impact of the COVID-19 pandemic on architecture firms in the U.S.

Follow this link to read the press release and the full report: https://www.aia.org/pages/6282364-march-2020-special-report-moving-ahead-

“Like most other businesses, U.S. architecture firms are heading into uncharted waters regarding what the economy holds in store for them as the COVID-19 pandemic plays out globally.,” said AIA Chief Economist, Kermit Baker, Hon. AIA, PhD. “Different businesses are feeling the impact of the slowdown differently.”

Key findings from the report include:

59% of firms expect inquiries for new work to decline in March
67% of firms have already seen prospective projects slow or stop
76% of firms have confronted at least one problem with their current projects related to the COVID-19 outbreak
Nearly half of firms indicated that all/virtually all of their staff are now working remotely

Firms anticipate revenue losses of 10% in March, 15% in April

Severe Impact on ABI Regardless of Quick Transition to Remote Operations

Mon, 16 Mar 2020 09:31:53 GMT

Reflecting the deteriorating conditions in the overall economy, demand for design services from architecture firms recorded a record fall, according to a new report today from the AIA. AIA’s ABI score of 33.3 for March reflects a decrease in design services provided by U.S. architecture firms (any score below 50 indicates a decrease in billings). During March, both the new project inquiries and design contracts scores dropped dramatically, posting scores of 23.8 and 27.1 respectively.

“Though most architecture firms have made quick transitions to remote operations, the complete shutdown of business activity is severely impacting architects,” said AIA Chief Economist Kermit Baker, Hon. AIA, PhD. “The dramatic pullback in new and ongoing design projects reflects just how quickly and fundamentally business conditions have changed across the country and around the world in the last month as a result of the COVID-19 pandemic.”

Key ABI figures for March include:

Regional averages: West (45.3); South (44.2); Midwest (44.2); Northeast (38.4)
Sector index breakdown: institutional (46.9); multi-family residential (43.3); commercial/industrial (41.9); mixed practice (40.6)
Project inquiries index: 23.8
Design contracts index: 27.1

An update on 2020 projections for the nonresidential construction industry: The AIA also surveyed the members of the Consensus Construction Forecast panel the week of April 8, asking them to briefly update their projections for the rest of the year. That information can be found at https://www.aia.org/pages/6287230-an-update-on-2020-projections-for-the-nonr

2019 Ends with Upward Momentum

Thu, 02 Jan 2020 09:19:37 GMT

Demand for design services in December increased for the third month in a row, according to a new report today from the AIA. AIA’s ABI score of 52.5 for December reflects an increase in design services provided by U.S. architecture firms (any score above 50 indicates an increase in billings). During December, both the new project inquiries and design contracts scores were positive, posting scores of 58.7 and 53.4 respectively.

“Despite the ongoing slowdown in billings in the Northeast, balanced growth across sectors and regions looks more positive for the coming year,” said AIA Chief Economist, Kermit Baker, Hon. AIA, PhD. “Factors outside of the construction sector, such as trade policy and international events, could still impact demand for design services, however recent fears about a downturn in construction activity have largely subsided.”

Key ABI highlights for December include:

Regional averages: West (54.0); South (52.2); Midwest (51.9); Northeast (44.0)
Sector index breakdown: commercial/industrial (54.0); multi-family residential (51.0); mixed practice (50.8); institutional (50.8)
Project inquiries index: 58.7
Design contracts index: 53.4

Medallions – A Freeze-Frame for Generations

Mon, 16 Dec 2019 09:15:45 GMT

Check out this amazing process and see how for generations to come, Reading Rock will strengthen the Xavier University and Cincinnati communities with exceptional building materials and services. For the full article on the design and installation of the medallions on Xavier University’s Health United Building visit:

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Positive Pace in November

Wed, 04 Dec 2019 09:10:37 GMT

Demand for design services in November increased at a modest pace for the second month in a row, according to a new report today from the AIA. AIA’s ABI score of 51.9 for November reflects an increase in design services provided by U.S. architecture firms (any score above 50 indicates an increase in billings). During November, both the new project inquiries and design contracts scores were positive, posting scores of 60.9 and 52.9 respectively.

“The uncertainty surrounding the overall health of the economy is leading developers to proceed with more caution on new projects,” said AIA Chief Economist, Kermit Baker, Hon. AIA, PhD. “We are at a point where there is a potential for an upside but also a potential for things to get worse.”

Key ABI highlights for November include:

Regional averages: South (54.5); West (51.3); Midwest (51.1); Northeast (47.5)
Sector index breakdown: commercial/industrial (52.9) mixed practice (52.2); multi-family residential (51.5); institutional (50.1)
Project inquiries index: 60.9
Design contracts index: 52.9

October Reflects Promising Activity

Wed, 13 Nov 2019 09:08:07 GMT

Following a two month decline in demand for design services, architecture billings got a bounce in October, according to a new report released today from the AIA. The ABI score in October is 52.0, up from the September score of 49.7. This score reflects an increase in design services (any score above 50 indicates an increase in billings). During October, both the new project inquiries and design contracts scores moderated from September but remained positive, posting scores of 57.9 and 52.9 respectively.

“Although ongoing uncertainty over the direction of economic growth persists, a strong stock market and growing payrolls at U.S. businesses continue to generate more construction projects,” said AIA Chief Economist Kermit Baker, PhD, Hon. AIA. “With most regional and sector billing scores at architecture firms improving from the previous month, we’re seeing a bit of a rebound from disappointing levels of design activity in recent months.”

Key ABI highlights for October include:

Regional averages: South (55.5); West (51.3); Midwest (49.9); Northeast (47.2)
Sector index breakdown: mixed practice (55.2); multi-family residential (54.0); institutional (49.9); commercial/industrial (49.3)
Project inquiries index: 57.9
Design contracts index: 52.9

September Project Inquiries & Design Contract Scores Positive

Tue, 15 Oct 2019 12:09:48 GMT

While architecture billings moderated in September, design activity shows signs of remaining sluggish at U.S. architecture firms, according to a new report released today from the AIA. The ABI score in September is 49.7, which improved from the August score of 47.2. However, any score below 50 indicates a decrease in billings. During September, both the new project inquiries and design contracts scores were positive, posting scores of 59.0 and 54.4 respectively.

“Though still in negative territory, the moderating billings score along with the rebound in design contracts and inquiries serve as a continued note of caution for the industry,” said AIA Chief Economist Kermit Baker, PhD, Hon. AIA. “Continued weakness in the larger economy still doesn’t bode well for future design services, which will likely see continued volatility in the months ahead.”

Key ABI highlights for September include:

Regional averages: South (52.3); West (51.3); Northeast (46.3); Midwest (45.3)
Sector index breakdown: multi-family residential (53.2); mixed practice (53.0); institutional (48.5); commercial/industrial (45.3)
Project inquiries index: 59.0
Design contracts index: 54.4

Design Services Taking a Downward Swing

Sun, 08 Sep 2019 12:07:29 GMT

Demand for design services in August took a markedly downward swing compared to July’s already soft score, according to a new report released today from the AIA. AIA’s ABI score of 47.2 in August showed a significant drop in architecture firm billings compared to the July score of 50.1. (Any score below 50 indicates a decrease in billings.) The design contracts score also declined to 47.9 in August, representing a rare dip for this indicator. Billings in the West stayed modestly positive while all other regions remained in negative territory.

“The sizeable drop in both design billings and new project activity, coming on the heels of six months of disappointing growth in billings, suggests that the design expansion that began in mid-2012 is beginning to face headwinds,” said AIA Chief Economist Kermit Baker, PhD, Hon. AIA. “Currently, the weakness is centered at firms specializing in commercial/industrial facilities as well as those located in the Midwest. However, there are fewer pockets of strength in design activity now, either by building sector or region than there have been in recent years.”

Key ABI highlights for August include:

Regional averages: West (51.2); Northeast (49.1); South (48.2); Midwest (46.4)
Sector index breakdown: institutional (50.6); multi-family residential (50.5); commercial/industrial (46.9); mixed practice (46.3)
Project inquiries index: 54.5
Design contracts index: 47.9

July’s Architectural Billings Index Remains Flat

Mon, 05 Aug 2019 12:05:22 GMT

Demand for design services in July remained essentially flat in comparison to the previous month, according to a new report released today from the AIA. AIA’s ABI score of 50.1 in July showed a small increase in design services since June, which was a score of 49.1. Any score above 50 indicates an increase in billings. In July, the design contracts score dipped into negative territory for the first time in almost a year. Additionally, July billings softened in all regions except the West, and at firms of all specializations except multifamily residential.

“The data is not the same as what we saw leading up to the last economic downturn but the continued, slowing across the board will undoubtedly impact architecture firms and the broader construction industry in the coming months,” said AIA Chief Economist Kermit Baker, PhD, Hon. AIA. “A growing number of architecture firms are reporting that the ongoing volatility in the trade situation, the stock market, and interest rates are causing some of their clients to proceed more cautiously on current projects.”

Key ABI highlights for July include:

Regional averages: West (51.2); Midwest (48.9); South (48.3); Northeast (48.3)
Sector index breakdown: multi-family residential (50.6); institutional (49.8); commercial/industrial (49.2); mixed practice (48.9)
Project inquiries index: 54.9
Design contracts index: 49.0

NFPA Passed RockCast Lightweight in 285 Test

Thu, 25 Jul 2019 12:01:14 GMT

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Demand Softening Based on Flat/Declining Billings

Fri, 12 Jul 2019 11:50:15 GMT

Demand for design services at architecture firms decreased in June in comparison to the previous month, according to a new report today from the AIA. AIA’s ABI score for June was 49.1, which is down from 50.2 in May. Any score above 50 indicates an increase in billings. Both the project inquiries index and the design contracts index continued to soften in June but remained positive.

“With billings declining or flat for the last five months, it appears that we are settling in for a period of soft demand for design services,” said AIA Chief Economist Kermit Baker, PhD, Hon. AIA. “With the new design contracts score reaching a 33-month low and the project inquiries score hitting a 10-year low, work in the pipeline may start to get worked off, despite current robust backlogs.”

Key ABI highlights for June include:

Regional averages: South (51.9); West (49.3); Midwest (48.9); Northeast (46.1)
Sector index breakdown: mixed practice (54.3); commercial/industrial (52.3); institutional (47.0); multi-family residential (46.3)
Project inquiries index: 52.8
Design contracts index: 50.3

May’s Architectural Billings Remain Flat

Wed, 12 Jun 2019 11:47:27 GMT

Demand for design services in May remained essentially flat in comparison to the previous month, according to a new report today from the AIA. AIA’s ABI score for May showed a small increase in design services at 50.2, which is slightly down from 50.5 in April. Any score above 50 indicates an increase in billings. Both the project inquiries index and the design contracts index softened in May but remained positive.

“The last four consecutive months, firm billings have either decreased or been flat, the longest period of that level of sustained softness since 2012,” said AIA Chief Economist Kermit Baker, PhD, Hon. AIA. “While both inquiries into new projects and the value of new design contracts remained positive, they both softened in May, another sign the amount of pending work in the pipeline at firms may be starting to stabilize.”

Key ABI highlights for May include:

Regional averages: Midwest (51.6); South (51.4); West (50.0); Northeast (47.5)
Sector index breakdown: mixed practice (55.4); commercial/industrial (53.0); institutional (48.0); multi-family residential (46.0)
Project inquiries index: 56.2
Design contracts index: 50.9

Back into Positive Territory for April’s ABI Score

Thu, 09 May 2019 11:41:47 GMT

Following a sizable decrease in demand for design services in March, the April ABI climbed back into positive territory according to a new report today from the AIA. AIA’s ABI score for April showed a small increase in design services at 50.5 in April, which is up from 47.8 in March. Additionally, business conditions remained strong at firms located in the South. Despite this and the positive overall billings score, most regional and sector indictors continue to display decreasing demand for design services.

“In contrast to 2018, conditions throughout the construction sector recently have become more unsettled,” said AIA Chief Economist Kermit Baker, PhD, Hon. AIA. “Though we may not be at a critical inflection point, the next several months of billing data will be indicative of the health of the industry going into 2020.”

Key ABI highlights for April include:

Regional averages: South (51.6); Midwest (49.3); West (49.0); Northeast (45.1)
Sector index breakdown: mixed practice (53.2); institutional (49.2); multi-family residential (47.4); commercial/industrial (46.6)
Project inquiries index: 60.9
Design contracts index: 52.1

March’s ABI Dipped, Still Indicators of Work in Pipeline

Sat, 13 Apr 2019 11:39:40 GMT

Following consistently increasing demand for design services for over two years, the ABI dipped into negative territory in March, according to a new report today from the AIA. AIA’s ABI score for March was 47.8, down from 50.3 in February. Indicators of work in the pipeline, including inquiries into new projects and the value of new design contracts remained positive.

“Though billings haven’t contracted in a while, it is important to note that it does follow on the heels of a particularly tough late winter period for much of the country,” said AIA Chief Economist Kermit Baker, PhD, Hon. AIA. “Many indicators of future work at firms still remain positive, although the pace of growth of design contracts has slowed in recent months.”

Key ABI highlights for March include:

Regional averages: South (54.2), Midwest (48.7), West (47.2), Northeast (43.5)
Sector index breakdown: mixed practice (53.1), commercial/industrial (47.0), institutional (48.9), multi-family residential (47.7)
Project inquiries index: 59.8
Design contracts index: 50.8

Architectural Business Remains Healthy, Southern Market Strong

Thu, 07 Mar 2019 12:35:26 GMT

Architecture firm billings growth softened in February but remained positive, according to a new report today from AIA. AIA’s ABI score for February was 50.3, down from 55.3 in January. Indicators of work in the pipeline, including inquiries into new projects and the value of new design contracts remained positive.

“Overall business conditions at architecture firms across the country have remained generally healthy,” said AIA Chief Economist Kermit Baker, Hon. AIA, PhD. “Firms in the south recorded continued strong design activity, likely reflecting a healthy regional economy and ongoing rebuilding from the catastrophic 2018 hurricane season.”

Key ABI highlights for February include:

Regional averages: South (58.3), West (51.6), Northeast (51.5), Midwest (51.3)
Sector index breakdown: mixed practice (57.2), commercial/industrial (53.9), multi-family residential (51.6), institutional (50.9)
Project inquiries index: 59.8
Design contracts index: 53.1

ABI’s January Score Indicates Work in the Pipeline

Mon, 11 Feb 2019 12:32:38 GMT

Starting the year on a strong note, architecture firm billings growth strengthened in January to a level not seen in the previous twelve months according to a new report released today from the AIA.

AIA’s ABI score for January was 55.3 compared to 51.0* in December. Indicators of work in the pipeline, including inquiries into new projects and the value of new design contracts, also strengthened in January.

“The government shutdown affected architecture firms but doesn’t appear to have created a slowdown in the profession,” said AIA Chief Economist Kermit Baker, Hon. AIA, PhD. “While AIA did hear from a few firms that were experiencing significant cash flow issues due to the shutdown, the data suggests that the majority of firms had no long-term impact.”

*Every January the AIA research department updates the seasonal factors used to calculate the ABI, resulting in a revision of recent ABI values.

Key ABI highlights for January include:

Regional averages: South (54.7), Midwest (54.4), Northeast (52.4), West (51.5)
Sector index breakdown: mixed practice (53.8), institutional (52.9), commercial/industrial (52.6), multi-family residential (52.6)
Project inquiries index: 59.6
Design contracts index: 53.8

Architecture Billings Slow, But Close 2018 With Growing Demand

Mon, 28 Jan 2019 12:22:51 GMT

Architecture firm billings growth softened in December but remained positive for the fifteenth consecutive month, according to a new report released 1/23 from the AIA.

AIA’s ABI score for December was 50.4 compared to 54.7 in November. Despite the positive billings, a softening in growth was seen across several regions and sectors, as well as in project inquiries and design contracts.

“Given the concerns over the ongoing tariff situation, it is not surprising to see a bit of a slowdown in progress on current projects,” said AIA Chief Economist Kermit Baker, PhD, Hon. AIA. “Growing anxiety over unstable business conditions and the partial shutdown of the government may lead to further softening in the coming months.”

Key ABI highlights for December include:

Regional averages: Midwest (56.3), Northeast (51.6), South (49.4), West (49.2)
Sector index breakdown: institutional (53.1), commercial/industrial (51.2), mixed practice (50.2), multi-family residential (49.8)
Project inquiries index: 55.6
Design contracts index: 52.1

Strongest Billings Growth Figure Since January, 2018

Tue, 04 Dec 2018 12:18:05 GMT

Architecture firm billings growth expanded in November by a healthy margin, according to the AIA. AIA’s ABI score for November was 54.7 compared to 50.4 in October. With the strongest billings growth figure since January and continued strength in new project inquiries and design contracts, billings are closing the year on a strong note.

“Despite some concerns about a potential economic downturn, architecture firms continue to report strong billings, inquiries, and new design contracts,” said AIA Chief Economist Kermit Baker, Hon. AIA, PhD. “For the coming year, concerns about the economy among architecture firm leaders tend to be balanced by their concerns about a lack of qualified employee prospects.”

The following are key ABI highlights for November:

Regional averages: Northeast (56.8), Midwest (53.1), South (50.5), West (49.0)
Sector index breakdown: commercial/industrial (53.8), mixed practice (53.8), multi-family residential (51.2), institutional (50.8)
Project inquiries index: 63.1
Design contracts index: 54.6

AIA Architectural Billings Index for October, 2018

Wed, 07 Nov 2018 12:11:19 GMT

Architecture firm billings growth softened in October but remained positive for the thirteenth consecutive month, according to a new report released today from the AIA. AIA’s ABI score for October was 50.4 compared to 51.1 in September. With continued strength in new project inquiries, billings are expected to remain steady into the coming months.

“The aftermath of this year’s hurricanes and wildfires are the likely cause of the billings contraction we’re seeing in the South and West regions,” said AIA Chief Economist Kermit Baker, Hon. AIA, PhD. “These natural disasters have clouded the health of design and construction activity, making it difficult to separate a temporary setback from a general slowdown in design activity.”

The following are key ABI highlights for October:

Regional averages: Midwest (57.8), Northeast (51.8), South (48.4), West (46.9)
Sector index breakdown: mixed practice (52.7), multi-family residential (52.3), institutional (52.0), commercial/industrial (48.9)
Project inquiries index: 58.6
Design contracts index: 52.8

reading-rock-old

Business Conditions Remain Soft at Architecture Firms

Soft Business Conditions Persist at Architecture Firms

Billings at Architecture Firms Remain in Decline

Architecture Business Conditions Decline in May

AIA/Deltek Architecture Billings Index Reflects Decline in April

Further Softening Reported in March on Architectural Firm Billings

AIA/Deltek ABI Reports Moderation in the Slowdown in February

AIA/Deltek ABI Reports Moderation in the Slowdown in Business Conditions at Architecture Firms in February

Architecture Billings Index Reports Sluggish Conditions to Start 2024

2023 Ends with Continued Weak Business Conditions for Architecture Firms

Architecture Firms Report Continued Low Billings

Continuing Decline in Architecture Billings, AIA/Deltek Architecture Billings Index Reports

AIA/Deltek Reports New Decline in Business Conditions

AIA/Deltek Architecture Billings Index Sees Softening Business Conditions in August

Stable Business Conditions in July

AIA/Deltek Architecture Billings Index Stable in June

Billings Index Idicates Business Conditions Rebound in May

ABI Reflects Continued Weakness in Business Conditions

After Five Straight Monthly Declines, AIA/Deltek Architecture Billings Index (ABI) Reports Slightly Improved Business Conditions

Architecture Billings Index Slowdown Continues into February

Architectural Billings Continue to Contract in 2023

Architecture Billings Continue to Decline

Design Service Demand Continues to Slow

Demand for Design Services Decrease Considerably

Demand for Design Services Accelerates

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