While you were out grilling hot dogs and searching for the song of the summer (give it up, there isn’t one), the Architecture Billings Index was climbing to its highest score since 2007. In June, the ABI posted a 55.7, up significantly from 51.9 in May. The new projects inquiry index also had a great month, moving from 61.5 to 63.4.
By sector, institutional was way ahead of the pack with a score of 59.1. It was followed by mixed practice (54.7), commercial/industrial (51.6), and multi-family residential (47.0). By region, it was Midwest with gold (57.2), South with silver, (54.9), West with bronze, (50.7), and Northeast (50.4) with whatever comes after bronze. A firm handshake and a slice of pizza?
“The June numbers are likely showing some catch-up from slow growth earlier this year. This is the first month in 2015 that all regions are reporting positive business conditions and aside from the multi-family housing sector, all design project categories appear to be in good shape,” said AIA Chief Economist Kermit Baker in a statement. “The demand for new apartments and condominiums may have crested with index scores going down each month this year and reaching the lowest point since 2011.”