Search
 

Houston Forecast Shows Mixed Recovery

HOUSTON-Barton Smith, a leading local economist, tells 1,000 business leaders that job growth and construction restraint will rescue the office market in two to four years, but the outlook's grim for the multifamily sector for a long time to come.

By Jennifer Brenner Andrade | Updated on May 06, 2004

HOUSTON-The director of the University of Houston’s Institute for Regional Forecasting is bullish on the recovery of the city’s office market, but discouraged over the future of its multifamily sector.

Yesterday before a crowd of 1,000 business leaders at the Hyatt Regency Downtown, Barton Smith said he believes there is “staying power” to the economic recovery now underway. The city’s seasonally adjusted job growth is about 1.6% right now, said the economics professor as he predicted the trend should continue through year’s end.

Houston’s office market could drop below 15% vacancy in two to four years if annual job growth matches the forecast of 30,000 to 50,000 new positions and construction is kept in check or toes the line by matching predictions that less than two million sf will deliver annually through 2006. The 178-million-sf inventory is now 16.6% empty.

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?

NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2024 ALM Global, LLC. All Rights Reserved.