March 20, 2009
 


Conditions Remain Weak for Architecture Firms, but the Bottom May Be in Sight

Business conditions at architecture firms remain very weak, but the period of steepest declines may be nearing its end. The AIA’s Architecture Billings Index moved up two points in February to 35.3. While still pointing to reduced workloads, this score indicates some moderation in the downturn. Even more encouraging is the increase in the index for new project inquiries. The inquiries index has moved up more than 10 points since December, and the February reading of 49.5 suggests that the downturn in project inquiries is stabilizing.


Education—Where They’re Designing and Building Schools and Why

Despite the steep drop-off in overall construction activity forecast for this year and next, the education design and construction market is projected to experience only moderate declines or lay flat. Because school construction is funded at a state-by-state or municipal level, specific geographies of growth and decline vary greatly. Firms interested in expanding their business into the education sector are advised to pair up with more experienced firms and to take on small technical renovation projects so they can meet school stakeholders and form relationships with them.


The Economy • Federal Spending • Energy

The Economy: A rundown of the signposts that will presage a coming upturn.
Federal Spending: The next stimulus package will benefit small businesses most.
Energy: Watch the ARPA-E to come of its own in slashing alternative energy costs.

Candidate Issue Statements
Elections for the Institute’s next first vice president/president-elect, vice presidents, and treasurer will be held April 30–May 2 at the AIA 2009 National Convention and Expo in San Francisco. Now posted is a PDF file of all eight candidates’ position statements.

 
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Welcome to the Business Zone
This is the place for our monthly Work-on-the-Boards survey report, quarterly Housing Trends survey report, and biannual Consensus Forecast, all by AIA Chief Economist Kermit Baker, PhD, Hon. AIA. You’ll also find tips for managing the business side of your practice, as well as the weekly Kiplinger Connection.