Architecture Billings Index down

CEDAR RAPIDS - The Architecture Billings Index, an economic indicator of construction activity, was down slightly in August after recording its strongest pace of growth in July since 2007.

The index reflects the approximate nine to 12 month lead time between architecture billings and construction spending. A score above 50 indicates an increase in billings.

The American Institute of Architects reported a slight decrease in August, with the index falling to 53 from a mark of 55.8 in July. The new projects inquiry index was also down, falling to 62.6 from 66.2 the previous month.

The design contracts index, which can offer an idea of future architecture billings, was 56.9.

'Long-stalled construction projects are starting to come back to life in the Midwest, which is seeing an accelerating growth in architecture firms,” said AIA Iowa Executive Director, Jessica Reinert. 'An increasing comfort level in the overall economy has helped revitalize the commercial real estate market in recent months, which we hope will eventually spread into a broader industrywide recovery.”

Key August highlights:

' Regional averages: Northeast (58.1), South (55.1), West (52.5), Midwest (51)

' Sector index breakdown: multifamily residential (58.1), mixed practice (57.1), institutional (54), commercial / industrial (50.4)

The regional and sector categories are calculated as a 3-month moving average, whereas the national index, design contracts and inquiries are monthly numbers.