The Leeds School of Business recently released its assessment of the economic outlook for Boulder County. While there are areas of the economy that are still lagging, there are many areas showing some positive signs.
The Boulder area has not suffered as much as many other areas because the local economy is stabilized by a world-class research university, several major federal laboratories, a well-educated workforce, a very favorable quality of life and a history of visionary entrepreneurs. The Boulder area has been an incubator for emerging industries in the past — technology, biotechnology, alternative energy, etc.
Employment in the county has increased slightly faster than the population. The number of non-farm jobs increased 1.9% from September 2010 to September 2011 while the population has increased an average of .86% per year. The average wages in the county ($64,314) are higher than the state ($55,945) and national ($51,222) averages. The unemployment rate in the county is 5.9% compared to about 8.8% nationally.
We continue to see some expansion in several different industries. The aerospace industry continues to be a bright spot in the economy several large employers, the federal labs and university all help create an atmosphere where start-ups can thrive. Biotechnology also benefits from a strong existing base of employers and will benefit from the completion of the new Biofrontiers Institute at CU. Other strong areas include information technology, natural and organic products, outdoor products and recreation and clean/renewable energy. There are also signs that venture capital is now flowing back into our area with a reported $96 million flowing in during the third quarter of 2011.
Real estate is still limping along. Commercial vacancies in some sectors are down but in some area up. Residential activity is terms of number of units is down slightly over last year. Prices have declined slightly overall but this may be partially due to the assortment of homes selling — more moderate priced homes are selling compared to prior years when there were more units sold at the higher prices. The rental market is very strong and residential vacancy rates are very low. As has always been the case in Boulder County, individuals cities and towns vary from the county as a whole. If you are interested in the price information for your particular area, let us know — email us at info@bernardirealestate.com or give me a call at 303-402-6000.
