WASHINGTON, DC-The Architecture Billings Index, which reflects the approximate nine to twelve month lag time between architecture billings and construction spending, posted a June score of 45.9, which is nearly identical to the 45.8 it posted in May. The new projects inquiry index was 54.4, up slightly from 54 the previous month.

“The downturn in design activity that began in April and accelerated in May has continued into June, likely extending the weak market conditions we’ve seen in nonresidential building activity,” said AIA Chief Economist Kermit Baker, in a prepared statement. “While not all firms are experiencing negative conditions, a large share is still coping with a sluggish and erratic marketplace.”

In general, economic indicators—both industry-specific and macroeconomic—are not trending well for commercial real estate. At the beginning of the month, the Labor Department reported that a mere 80,000 jobs had been created—a worrisome figure for office investors and owners. 

On the other hand, the Associated General Contractors of America recently highlighted a surprising green shoot of economic activity: construction spending in May reached the highest level since December 2009 fueled by a robust private sector pipeline, especially in the residential and multifamily sectors, it reports after analyzing federal data. This growth was strong enough to offset the ongoing decline in public sector building.