The Q1 2018 market ratings by Moody’s Analytics have Tulsa within mid-expansion status of the business cycle, making the move from recovery to self-sustaining expansion. In addition, the Tulsa metro is forecasted to grow 3.1% in gross metro product totaling $47.9 billion by year-end.
Industrial-geared employment experienced sustained growth through the first quarter of Q1 2018. According to the Bureau of Labor Statistics (BLS), the manufacturing sector registered 5.1% year-over-year employment growth in March 2018.
Industrial demand in the Tulsa market remained positive for Q1 2018 with 98,573 sq. ft. of net absorption. The North and East submarkets were the main market drivers, collectively achieving 299,175 sq. ft. of net absorption.
Large footprint leasing activity was exclusive to the North and East submarkets. The continued growth in population and median household income strengthens demand for consumer goods. Likewise, companies that provide supply chain services for consumer goods are awash with retailers that require their expertise. One such company, CHEP leased 106,000 sq. ft. in the East submarket.