Commercial construction demand, down
By: Myles, April 24th, 2008
In a sign of things to come, the Baltimore Business Journal’s Tierney Plumb just posted some sombering news …
The forecast for commercial construction this year looks bleak, according to the latest survey from the American Institute of Architects. The Washington, D.C.-based group’s monthly survey gives a glimpse into the future of nonresidential construction activity by showing a nine to 12 month lag time between architecture billings and construction spending, as indicated by an Architecture Billings Index.
A healthy score of 50 indicates an increase in billings.
Inquiries for new projects was scored at 48 last month, also the lowest mark for the survey.
This year’s index dropped by 11 points at the quarter’s end to 39.7– its lowest level since the survey began in 1995.
A healthy score of 50 indicates an increase in billings.
- The Midwest reported the lowest score at 36.9.
- The South had the highest at 45.3.
- The Northeast and West tied at 38.7.
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April 24th, 2008 at 9:21 pm
Not a good sign of things to come, that’s for sure!!! Clearly the architects are ahead of things on this one …
May 21st, 2008 at 7:57 pm
[…] American Institute of Architects reported its architectural billing index rose to 45.5 in April from the historic low of 39.7 in March, with scores below 50 indicating declining billings. The AIA index leads nonresidential construction spending by six to nine months. An index tracking new inquiries rose to 53.9 from a record low 48. […]