The Architecture Billings Index (ABI) report published for the month of April by the American Institute of Architects (AIA) shows that a historic contraction within the architecture industry has intensified as the COVID-19 crisis continues in the United States. 

April ABI highlights

• Architecture Billings Index score for April: 29.5
• Project inquiries index: 28.4
• Design contracts index: 27.6

According to the report, "demand for design services in April saw its steepest decline on record," resulting in an ABI score of 29.5. Any score falling below 50 indicates a decrease in billings; This is the second month in a row to show a deep contraction in the demand for design services. March's score, which captured only the first weeks of the COVID-19 crisis, fell to 33.3 following a 53.4 score in February on the eve of the crisis.

Project inquiries fared slightly better in April than in March, while contract execution dropped further.

Summarizing the findings of the survey, AIA Chief Economist Kermit Baker, Hon. AIA, PhD writes, “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,” adding, “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.”

All regions contract sharply

• Regional average, West 38.1
• Regional average, Midwest 31.2
• Regional average, South 31.1
• Regional average, Northeast 23.0

April's ABI survey shows a dramatic drop in design activity across all four geographic areas of the United States. 

The West region, where some building and design activity has continued due to the hodgepodge of stay-at-home orders and carved out exemptions for construction work that have been enacted, fared somewhat better than other regions. The Midwest and South regions, meanwhile, performed slightly better than the Northeast where strict work stoppages have brought many projects to a halt. 

All construction sectors contracted in April

• Institutional: 36.1
• Multi-family residential: 30.3
• Mixed practice: 29.0
• Commercial/Industrial: 27.8

In terms of building sectors, commercial / industrial and mixed practice projects fared the worst as consumer activity has dropped precipitously in response to the crisis. Multi-family residential and institutional projects, some of which have been allowed to go on, fared slightly better.