This Week on The Street March 2, 2015
(A more or less regular compilation of news, factoids and observations.)
By Harold V. Shumacher
Webster’s defines an accelerant as something that contributes to acceleration, a power boost might be another way to consider the word. In the 1990’s, the Olympics accelerated/propelled/boosted Atlanta with a near doubling of the population, billions of dollars of infrastructure improvements (roads, stadiums, residential housing) hundreds of thousands of new jobs were created and Atlanta became one of the country’s leading cities.
We now know that all good things must come to an end and from 2008 through mid 2013 to early 2014, the metro suffered from one of the longest recoveries in the country. That now seems to be behind us and based on current trends we might look back at the 20 teens as another period of acceleration.
Consider the following from The Atlanta Regional Commission’s 2014 annual report. The ARC, an 18 county regional planning and funding organization, has a unique perch of the local landscape compiling data from a wide variety of sources. Over the past four to five years metro Atlanta has become younger (29% of the population is under 20); more diverse-13% of the population is born in a different country; more innovative and technical fifth in filings for new patents and sixth in number of software developers. Atlanta is 7th in new residential growth (236,000 newcomers) but we have more cars (3.8 mm) than ever and spend approximately $1, 100 each per year sitting in traffic- the 7th highest total in the nation.
The good likely outweighs the bad. Technology companies are opening daily, the metro area has had big wins with the corporate relocations of Mercedes Benz, NCR and a growing number of innovation centers around Georgia Tech and downtown Atlanta.
New construction is back and all the major sectors, residential, industrial, commercial and single family are in full gear. Construction and material costs have shown a steep increase (15 to 30% depending on who you talk to.) This summer, the Atlanta Falcons stadium, in downtown Atlanta, will be the largest construction site in the Southeast United States with 18 construction cranes expected to be on site.
For the restaurant industry that’s all positive. If residents feel more affluent they’re more likely to spend money. To date, Krog Street Market , restaurants , Avalon, and Buckhead Atlanta are off to stronger than anticipated starts. Ponce City Market comes on board later this spring and there are numerous new eateries slated throughout the metro area. Maybe not the go go 90’s but a big improvement from where we were a few years back.
Recent transactions for The Shumacher Group Inc. include
Sale of The Painted Pig Tavern, Historic Downtown Canton
Sale of Mama 5 Sons Italian Grill, Jefferson
Lease of Hooters Canton to Friends American Grill
Lease space at Camp Creek Marketplace to TPK Wireless
Lease of adjacent space for Kaleidoscope Bistro & Pub Brookhaven
Sale of Doc Greens Powers Ferry Road
Lease to Roswell Farmer’s Market-Holcomb Bridge Rd.
Lease to Reclaimed by Demant