During these tough economic times it is a welcome change of pace to see any positive progress. The Los Angeles Times yesterday ran an article highlighting a new study by the American Institute of Architects (AIA) covering an upturn in construction activity. According to the study, the increase in October 2009 was “the highest level of new business for the nation’s architects since August 2008.” This welcome news should not be interpreted as a complete turnaround however, as noted by Kermit Baker, chief economist for the AIA. Rather this news serves as a signal that the construction industry may start pulling out of its slump sooner rather than later.
Not every member of the AIA agrees with the report as well, with Richard Keating of Keating Khang Architecture saying “We haven’t seen anything that would substantiate that, not here in Southern California.” I may not be very knowledgeable, but it seems to me as if Southern California always has a site under construction. The report provides a more general outlook for the industry as a whole and can function as an indicator for trends to come. As mentioned in the article, architectural billings are a primary signal of ‘future development due to builders taking an adverse stance on spending money on design.’