According to a new report by the Commercial Real Estate Development Association NAIOP, in 2017 more than $24 billion in direct construction spending occurred in Texas– more than any other state in America. The building sector contributed nearly $59 billion to the state’s economy and employed nearly 380,000 people. Texas also leads the country in warehouse and retail development, the report notes.
“The importance of commercial development to the U.S. economy is well established, and the industry’s growth is critical to creating new jobs, improving infrastructure, and creating places to work, shop and play,” Thomas Bisacquino, NAIOP president and CEO, said in a statement. “Commercial real estate is a robust contributor to national and state economies.”
The report, Economic Impacts of Commercial Real Estate, 2018 Edition, was published by the NAIOP Research Foundation. It measures every year the contribution of commercial real estate development to the national and state GDP, salaries and wages generated, and jobs supported from the development and operations of commercial real estate.
Overall, commercial real estate development, NAIOP states,
- supported 3.6 million American jobs in 2017 (a measure of both new and existing jobs).
- contributed $541.0 billion to U.S. GDP.
- generated $174 billion in salaries and wages.
In 2017, 523.6 million square feet of commercial real estate space was built with capacity to house 1.3 million new workers nationwide. Direct expenditures for U.S. construction surpassed $1.2 trillion dollars — the highest in a decade.