Recovery in Non-Residential Building Sector to Remain Somewhat Stagnant Far into 2011

The American Institute of Architects has reported that despite September gains, the Architecture Billings Index dropped below 50 in October, indicating a contraction in the demand for non-residential construction projects. Kermit Baker, AIA’s Chief Economist, points to the credit squeeze for new building proposals and a still sluggish economy as major reasons for decreased construction activity. This most recent ABI reading has analysts predicting a rather slow and volatile recovery, with no significant growth until late 2011 at the earliest. To read more about these predictions, click here.