The good news is that the commercial real estate industry grew at the strongest pace yet over the past year since the economic recovery began in 2011, according to a report recently released by NAIOP, the national commercial real estate development association.
The bad news is that Minnesota was not among the Top 10 states ranked by construction value for office, industrial, warehouse and retail.
The 96-page report, available here, was authored by Dr. Stephen Fuller, director of the Center for Regional Analysis at George Mason University in Virginia.
It concluded that the economic impact gleaned from development rose a little over 24 percent in the past year, the biggest gain since 2011. Direct expenditures for 2013 totaled $124 billion, up from $100 billion the prior year. In addition, commercial development's total contribution to the U.S. GDP was $376 billion, up from $303 billion in 2012. And jobs supported by the industry reached 2.8 million in 2013, up from 2.3 million the year before.
As NAIOP President and CEO Thomas Bisacquino said, "a healthy development industry is critical to a prosperous U.S. economy."
The biggest gainer in terms of sectors: Industrial development, which soared by 49 percent over the year, due mainly to new energy-processing facilities. Warehouse construction surged 38 percent, office construction was up 23 percent and retai construction was the laggard at 4.3 percent.
Here are the Top 10 states by construction value for office, industrial, warehouse and retail properties:
3. New York
9. West Virginia