Raleigh-Durham Ranked a Tech Talent Hot Spot

A recent CBRE Research report scored “Tech Talent” markets across the U.S., and the rankings placed Raleigh-Durham squarely in the midst of prestigious company. With the ongoing surge in technological advances, corporate demand for tech talent across all industries has dramatically increased. Companies located in highly concentrated tech talent markets are expanding their office-space footprints to accommodate growing needs.

Tech talent markets share a few key characteristics: Professionals tend to have a high degree of educational attainment and there is a high number of millennials (the “hyper-connected generation”) in the workforce. The growth rate of tech talent from 2010-2013 in Raleigh-Durham was 24.4%, with a total tech-focused labor pool of 54,870 individuals across all industries. The change in the millennial population from 2009-2013 in Raleigh-Durham was 9.2%, well above the U.S. average of 3.0%.

Tech talent has a tendency to cluster. This clustering effect can have significant positive benefits for both employers and employees, providing a larger labor pool of highly-skilled workers and the enhancement of collaboration, sharing of information and a drive toward innovation. As is certainly the case in Raleigh-Durham, many tech clusters are located near universities, where companies have access to a constant flow of newly minted tech talent.

The implications for the continued growth of the Raleigh-Durham commercial office market are clear. In the short time since these statistics were harvested and analyzed, we’ve experienced a continued tightening of the market and increased demand for quality office product. High tech accounted for the highest percentage of any sector for major U.S. office leasing activity by square footage in 2013 (13.6%) and 2014 (19.0%). Building a real estate strategy around tech talent hot spots, like Raleigh-Durham, could prove highly successful for occupiers.
         

CONTACT US
Please contact us by email at heath.chapman@cbre-raleigh.com or don.shupe@cbre-raleigh.com or by phone at 919.831.8200 to obtain a CBRE Econometric Advisors Index Brief, as well as CBRE’s local 1Q 2015 Office MarketView Report. These reports provide key updates on vacancy levels, rental rates and employment trends within the Raleigh-Durham office market.

The commercial real estate office markets continue to rapidly evolve, and we make it our business to stay ahead of the curve. If you anticipate a change in your space requirements, have been contemplating a lease restructure, need an analysis of your current leased office portfolio or simply would like to set up a time to discuss our services in greater detail, please contact us.

We specialize in occupier services and are committed to delivering superior results for our clients.