JLL’s fourth annual High-Technology Office Outlook is a comprehensive study of one of the most innovative and dynamic industries in the United States, its impact on local economies, and the growth generated within the commercial real estate sector. This report highlights the various drivers that impact the growth and sustainability of the industry, the characteristics of 34 markets that have lent to the growth of local high-tech clusters, and the implications of this growth for both occupiers and investors of commercial office space.
- Clusters are important: Understanding the dynamics of the local labor market, the competitive wage environment, and the clustering of innovation are key for occupiers when considering expansion into new markets.
- We’re not in bubble territory, despite the headlines. Venture capital, while on the rise is flowing to fewer companies at larger sums. Additionally, the stock market remains balanced with both high-volume / high-priced companies, and smaller-cap / growth companies and no spike in IPOs.
- The industry has had a profound impact on the office real estate market in this recovery cycle. Never before has an industry single-handedly shaped the way we work together and how we configure space more than the high-tech industry. This has had broad ripple implications on location choice, investment strategies, and market performance.
- Dallas’ high-tech history goes back to the 1951-founding of Texas Instruments, which produced the first commercial microchip. TI, a top-three producer of semiconductors and digital processors globally, is an important anchor in the region.
- Underscoring Dallas’ high-tech role, the region is one of the top-five patent originators in the U.S. Texas is also a leading technology patent generator, second in the U.S. to California.