Thursday AM September 24th, 2009
by: Ed Mayberry, September 24, 2009 8:09:00 am
Representatives from StoneBridge, Jones Lang LaSalle and Trammell Crow say the industrial market in Houston is generally pretty stable — when compared to other markets around the nation. Market activity is significantly slower than two years ago, but Jim Casey with Trammell Crow says the outlook for resumed growth in the next year or so is good.
"Houston is a very pro-business climate. We have a lot of diverse set of drivers in the industrial market — the port, the Medical Center, the airport, oilfield services, all those different things that, all of them combined, produce a pretty diverse and large industrial market that I don't see that it would lag the country in recovery at all."
Casey says economic indicators are watched closely by the property sector.
"If you were to boil it down to one key parameter, it's job growth. Because the job growth produces absorption, and if there's positive absorption in the market of space, then the market remains healthy and will resume growth when it makes sense to. I mean, there's obviously vacant space in the market that is a reasonable amount that we'll need to get absorbed and investors to get confident in the market and its expected growth outlook to justify building more space."
Casey says Houston has its own version of the recession, although job losses and other factors haven't been as intense. Ed Mayberry, KUHF Houston Public Radio News.