May 31, 2016
Port of Houston contributes billions to GDP
HOUSTON - The Port of Houston’s $265 billion in supported economic activity or approximately 16.1 percent of the entire Texas GDP, is likely the primary reason why it receives significant coverage...
HOUSTON – The Port of Houston’s $265 billion in supported economic activity or approximately 16.1 percent of the entire Texas GDP, is likely the primary reason why it receives significant coverage in both regional and national analyses, according to CBRE’s 2016 North America Seaports and Logistics Index.
Despite the recent shock in energy prices, which often overshadows positive headlines, the port managed to demonstrate strong growth numbers in 2015.
In fact, coupled with volume growth of 9.2 percent in 20-foot equivalent units (TEUs) in 2015, enhanced port infrastructure and relatively stable industrial real estate fundamentals kept the port growing.
Houston’s global trade—whether import or export—requires different types of logistics space with varying attributes.
With no question, shipping logistics are the largest users of industrial space.
CBRE Research has shown the increased traffic at the port correlates positively with market occupancy, even more so in submarkets with closer proximity to the port.
As the epicenter of the Gulf Coast petrochemical and refining industry, the Southeast submarket in Houston is nearly fully occupied with a scant 4.2 percent vacancy rate.
In terms of overall economic impact, Texas benefits through the jobs created and the tax dollars generated through by being a large participant on the world’s trade stage.
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