The American Institute of Architects (AIA) recently released the AIA/Deltek Architecture Billings Index (ABI) for September. The ABI score dropped to 44.7 from 47.2 in August.
There is a slight silver lining in the continued decline: inquiries for new projects increased to 53.2. AIA reported a steady pipeline of future work, with backlogs stable.
Multifamily residential and institutional firms appear to take the largest hit against the current market conditions.
“This is an increasingly difficult environment for architecture firms,” said AIA Chief Economist Richard Branch. “Weakening billings are being compounded by a soft economy, challenging project financing and growing caution among clients. With fewer projects moving forward, there is little reason to expect a meaningful improvement in business conditions in the near term.”
