A report prepared by an economist associated with George Mason University for the NAIOP Research Foundation concluded that development and construction of commercial real estate contributed approximately $450 billion to the United States GDP in 2015. Development also contributed to supporting 3.2 million new and existing jobs last year. Construction volume was led by warehouse investments which gained 10.8 percent over 2014, representing its fifth consecutive year of growth. The report also states that nearly 430 million sqf of commercial real estate space built in 2015, with capacity to accommodate 1.1 million workers.
The impact of the construction on the State of Maryland’s real estate exceeded $1.65 billion last year, a figure that encompasses spending on soft costs, site development, hard costs and tenant improvements. Nearly 11,000 jobs were supported by these activities in the local region.
“These figures validate the critical importance of healthy and growing commercial real estate and construction industries, and their essential contributions annually to a robust economy,” stated Brendan Gill, President of NAIOP Maryland, the local association comprised of more than 380 professionals working for real estate development companies, brokerage firms and affiliated companies. “Activity among all real estate product types continues to remain robust, and this represents great news for the Maryland economy, local businesses and residents.”
