Quarterly Economic Report
HVEDC-JONES LANG LASALLE
UARTERLY E C O N O M I C R E P O RT January 2014
Hudson Valley News & Notes 32 9W
Total Labor Force 17 (November)
Laurence P. Gottlieb President and CEO HVEDC
ir rvo Ashokan Rese
Even with 1.1M in EOY 2012 52
Growth from fourth quarter a year 84 ago
Unemployment Rate (November) AY
Job Gains (last 12 months) & Industry Drivers
Employment 209 52 Growth (Fourth Quarter) 17
Education and healthcare; Trade, transportation and utilities
ROCKLAND-ORANGE ROCKLAND ORANGE
Trade, transportation and utilities; Education and healthcare
Leisure and hospitality; Trade, transportation and utilities
Leisure and hospitality; Professional and business services
Total Jobs +8,334
from 7.4% in 2012
Regional Economy Making Steady Progress The Hudson Valley economy remains in a pattern of slightly upward progression. The seven-county unemployment rate continued to contract, as the November figure reached 5.8 percent, compared with 7.1 percent a year ago. This figure, however, is affected by discouraged jobseekers who have stopped looking for work and others in their later years preferring to retire rather than finding new employment. Therefore, the Hudson Valley is reflecting the overall U.S. economy. Here, the labor force is actually 0.5 percent smaller than it was a year ago and employment growth is little more than flat at 0.9 percent. In the past 12 months, a diverse range of industries created jobs with education and health services adding a combined 2,500 and the trade, transportation and utilities industries adding a total of 3,300. Other news of note: â€˘ In a November referendum, voters authorized casino gaming for New York State. One or possibly two resorts will be approved for the Catskill Region. â€˘ NY BioHud Valley Founding Member, Regeneron Pharmaceuticals, broke ground in October on an expansion of its headquarters and laboratory space in the towns of Greenburgh and Mount Pleasant, totalling more than $100 million. The company currently has 700,000 square feet of space and is building 300,000 square feet more with two new buildings. The expansion will create an additional 400 jobs in Westchester County.
Learn More About the Regional Economy HVEDC will host the first State of the Hudson Valley Economy event in June, featuring renowned labor analyst Dr. Paul Harrington of Drexel University and a panel of regional economic leaders and experts. For more information, call HVEDC at 845-220-2244
• Occupancy levels showed mixed trends in the region during the last quarter of 2013.
Things to watch
About Hudson Valley Economic Development Corporation (HVEDC) HVEDC is the leading economic development agency for the sevencounty region of Westchester, Putnam, Dutchess, Rockland, Orange, Ulster and Sullivan counties. The public-private partnership markets the region as a prime business location to corporate executives, site selection consultants and real estate brokers. HVEDC created the branding and promotional efforts for industry cluster initiatives Hudson Valley 3D Printing, the Hudson Valley Food & Beverage Alliance and NY BioHud Valley. For more information or to review available business sites, visit www.hvedc.com or call CEO Laurence P. Gottlieb at 845-220-2244.
About Jones Lang LaSalle Research Jones Lang LaSalle’s research team delivers intelligence, analysis, and insight through market-leading reports and services that illuminate today’s commercial real estate dynamics and identify tomorrow’s challenges and opportunities. Our 300 professional researchers track and analyze economic and property trends and forecast future conditions in over 60 countries, producing unrivaled local and global perspectives. Our research and expertise, fueled by real-time information and innovative thinking around the world, creates a competitive advantage for our clients and drives successful strategies and optimal real estate decisions. Leasing Chris O’Callaghan
Hudson Valley Economic Development Corp.
4 Crotty Lane, Suite 100 New Windsor, NY 12553
Laurence P. Gottlieb, President and CEO firstname.lastname@example.org
A positive outlook for the Hudson Valley continues to hinge on job recovery and industry diversification – a common thread among many secondary markets across the U.S.
In line with education and health services driving employment, the health services sector is a major player in local office markets. One of the few construction projects under way is an 80,000 square-foot build-to-suit for the expanding WestMed Group along the I-287 corridor.
Asking commercial rent (cost per square foot) by market n 2012 n 2013
• Persistent lackluster office-using employment growth will likely keep rents flat during the course of 2014. •
Despite weak employment growth, Dutchess-Putnam recorded the lowest vacancy at 15.0 percent in the fourth quarter while vacancy in Sullivan-Ulster was down marginally.
Much of Westchester’s increase in vacancy is attributed to MBIA’s space at 113 King St., Armonk, coming online. In Orange-Rockland, large blocks came online at Blue Hill Plaza.
• Vacancy rates were elevated in Westchester, Orange and Rockland counties.
Office vacancy rate by market n 2012 n 2013
Hudson Valley News & Notes
WINTER 2014 | HVEDC-Jones Lang LaSalle Quarterly Economic Report
Quarterly Economic Report | Winter 2014