We've known that despite the stubborn overall unemployment rate that tech's the place to be. A new report by Jones Lang LaSalle that tracks 18 U.S. markets merely reinforces that point. It found a job growth rate nearly four times faster in tech than the national average since the depths of unemployment in February 2010.
Jones Lang LaSalle specializes in commercial real estate, so the report offers an interesting look at who's leasing space where. It says that of the more than 500,000 jobs created nationally since February 2010 that require office space, 127,000 jobs or 25 percent were in high-tech services
According to the press release:
Office-using employment sectors comprise 20.9 percent of total employment in the U.S., while high-tech services makes up just 1.7 percent. Nonetheless, high-tech services jobs increased by 5.9 percent from the trough, while office-using sectors increased by 1.9 percent. ... High-tech employment has surged, growing its job base by 5.1 percent (5.9 percent for services and 3.6 percent for manufacturing), surpassing growth of any other sector on a percentage basis.
It reports that growth is focused on mobile, search, social media and cloud computing, drawing on global markets for customers and revenue.
These it calls "Stabilizing": Los Angeles; Chicago; Philadelphia; Pittsburgh; Denver; South Florida; Austin, Texas; Portland, Ore.; Raleigh-Durham, N.C.; Washington, D.C., and San Diego. None of the markets are listed as "Growing late stage" or "Contracting."
And despite all the talk of a new tech bubble, the report concludes:
Venture capitalists are more cautious, funding has been more contained, and the types of companies that receive funding are more viable.
High-tech industry strength is near past highs, but high-tech stock valuations have declined and remain near past lows. This suggests earnings are supporting business operations and stock prices are not overvalued.
As just as my colleague Ann All has reported on companies trying new combinations of public and private work spaces, the report says companies such as Facebook, Google and Zynga are changing the market. They tend to seek more open space with exposed ceilings and brick surfaces. Says Peter Miscovich, managing director in Jones Lang LaSalle's Corporate Solutions group:
The old rule for planning corporate real estate was that 80 percent of the space was allotted to individuals who worked in their assigned offices and 20 percent of space was collaborative, but high-tech firms were the first to pioneer the concept of more open space. Today, 60 to 80 percent is collaborative and interactive space, and 20 to 40 percent is individual, but not territorial.