Architecture Billings Continue to Decline in September, According to the Architecture Billings Index
AIA/Deltek Architecture Billings Index reports softening business conditions nationwide, with firms in the Northeast continuing to face significant challenges.
Architecture firms across the country experienced another challenging month in September, according to the latest AIA/Deltek Architecture Billings Index (ABI). The September ABI score of 44.7 reflects a continued decline in business conditions, marking a further weakening from August and the largest share of firms reporting declining billings since May.
The ABI is a leading economic indicator for the construction industry, providing valuable insight into the demand for architectural services and the potential direction of future construction activity. A score below 50 indicates that more firms are reporting declining billings than increasing billings.
Northeast Firms Continue to Face Headwinds
For architecture firms in Rhode Island and throughout the Northeast, the latest findings highlight an ongoing period of uncertainty. While business conditions varied across the country, firms in the Northeast continued to report particularly weak billings in September.
Elsewhere, firms in the West and Midwest reported relatively stable conditions, while firms in the South experienced further declines. Commercial and industrial firms were a bright spot nationally, reporting modest growth in billings for the second consecutive month.
However, firms specializing in institutional and multifamily residential projects continued to face challenges, with billings declining for six and five consecutive months, respectively.
Project Backlogs Provide Some Stability
Despite declining billings, architecture firms continue to maintain a meaningful pipeline of work.
At the end of the third quarter, average firm backlogs stood at 6.2 months, down from 6.6 months at the end of the first quarter.
The decline was especially pronounced among firms specializing in multifamily residential projects, where backlogs fell from 6.2 months in March to 4.8 months in September.
Other sectors demonstrated greater stability:
Large firms: Backlogs remained steady at 8.1 months.
Institutional firms: Backlogs held at 8.0 months.
Small firms: Backlogs increased from 3.1 to 3.8 months.
While backlogs have decreased from their post-pandemic highs, these figures suggest that many firms still have projects underway and opportunities to maintain operations as market conditions evolve.
New Project Opportunities Remain Uncertain
One encouraging sign in September was a modest increase in inquiries for new projects, indicating that potential clients continue to explore future development and construction opportunities.
However, the value of newly signed design contracts declined further, suggesting that interest in new projects is not consistently translating into committed work.
This disconnect between inquiries and signed contracts underscores the uncertainty facing architecture firms as clients evaluate project costs, financing conditions, and future investments.
What This Means for Rhode Island Architects
For Rhode Island’s architecture community, the September ABI results reinforce the importance of remaining adaptable in a changing economic environment.
AIA Rhode Island remains committed to supporting the state’s architecture professionals through advocacy, professional development, and opportunities for collaboration and connection.
As economic conditions continue to evolve, understanding industry trends and staying engaged with the broader architecture community will be increasingly important.
Source: AIA/Deltek Architecture Billings Index, September 2026.
