With one of the state’s lowest vacancy rates for Class A offices and a swelling work force, The Energy Corridor District has become a significant driver of Houston’s economic growth, according to the latest research findings.
With 84,000 employees, The Energy Corridor District is now the city’s second largest employment center, confirmed an in-depth study by CDS Market Research, a Houston-based marketing research and analysis firm. And employment is expected to grow to 147,000 by 2030, CDS reported.
Meanwhile, a recent market review by CBRE, a globally recognized real estate research and services firm, reported that Houston added 118,000 jobs during that past year, many of those in The Energy Corridor.
Class A vacancy in The Energy Corridor is now at 0.9 percent, fueled by the stout growth of the energy industry, according to CBRE. Citywide, Houston’s suburban submarkets added 1.1 million square feet of offices during the first quarter of 2013 alone.
The Energy Corridor District now has nearly 21 million square feet of commercial office and mixed use space, a number projected to swell to more than 38 million square feet by 2030, according to the CDS market report. Of that existing space, 75 percent is Class A, CDS says, with another 6.5 million square feet under construction or proposed, part of that coming from Energy Center III, a 20-story speculative project on Eldridge Parkway.
In fact, office and retail under construction and proposed for The Energy Corridor District could add soon another 22,000 employees to the area, according to CDS.
The research firm also says nearly 44 percent of Houston’s engineers and architects live within a 30-minute drive of The Energy Corridor, with dense concentrations of those specialists coming from neighborhoods west, south and northwest of the District. The Energy Corridor District is strategically located at the geographic center of the region’s engineer occupied households. No wonder the area is receiving so much attention.