Commercial Real Estate:
Archtectural Firm's Billings Are Up
Architectural Firms Increase Billing In Good News For Commercial Real Estate Market
One of the leading indicators of commercial real estate ... the billing activity for architecture firms regarding commercial real estate structures ... shows some good news for the market. This Business Insider report tells us that "Billings at architecture firms accelerated to their strongest pace of growth since December 2010."
This is good news for the commercial real estate market, but there is a long lag-time in this indicator ... the time between completion of design and actual sale of a project can be as long as two years. This would indicate that commercial real estate is not yet out of the doldrums, but could be heading there.
"Billings at architecture firms accelerated to their strongest pace of growth since December 2010. " ... Business Insider
Actual Commercial Real Estate Not Out Of The Woods Yet
It should be noted here, that most of this increase in billing by architectural firms relates to design of multi-family residential units. We know that demand in this area is on the upswing as large numbers of families have been displaced as "homeowners", and are now in need of rental properties as residences. The need for building design has so far been in this area, and is not yet a reflection of overall demand in the area of commercial real estate.
Commercial Real Estate