The DC region received an early Christmas present in November – Jobs. Jobs, specifically office using jobs, have the greatest impact on office real estate demand.
See below for the preliminary Bureau of Labor Statistics rundown of the DC Metro jobs report for November 2014:
1. The DC Metro Region added an impressive 17,000 net new jobs to payrolls in November, 2014. If these numbers don’t get revised downward they will be the largest single monthly job gain since April, 2010.
2. The seasonally adjusted unemployment rate stands at 5.1%
3. October numbers were revised down from 500 net new jobs to negative 2,200 – ouch.
4. The Job Gains were positive in all markets
- Northern Virginia led the way with 8,300 jobs
- The District of Columbia posted 4,000 jobs
- Suburban Maryland added 2,900 jobs with other outlying areas making up the difference
5. After falling for four straight months, the DC Metro labor force grew by 9,600 people in November - a sign that more people who have been on the sidelines feel confident about their prospects of finding gainful employment.
6. The Professional and Business Services sector was the largest gainer – adding over 4,800 positions in the month. This is a key sector for the health of the office market.
7. Federal Government employment – another key sector for DC Metro office performance added just over 1,000 new positions in four straight months of positive growth. The federal contraction and the effect it’s had on the local office market for the past three years or so is definitely trending in the back in the right direction
8. Other gains came in Leisure and Hospitality, and Retail (1,400 and 1,600 new jobs, respectively).
9. Compared to November 2013, the region is up 15,100 jobs. A typical year in the DC Metro will see around 30-35,000 new jobs created.
By: Nathan Edwards
Director of Research, Cassidy Turley - Washington, D.C.
Email Nathan: Nathan.Edwards@cassidyturley.com
Follow Cassidy Turley on Twitter: @CassidyTurleyRE