Will the Region’s Tech Job Growth Create a Building Boom?

By on November 7, 2018

From St. Louis Business Journal:  With its business growing and its head count increasing too, St. Louis-based software development company Object Computing Inc. announced plans earlier this year to nearly double its office and development center in Creve Coeur.

OCI said it invested more than $1 million in the expansion, which included a custom-built, 18,000-square-foot development center, installation of upgraded security throughout its facility, a technical training lab and meeting facilities. With the expansion that opened this spring, executives planned to hire 75 new technologists.

The company’s job expansion is an example of the explosive growth in the St. Louis tech segment. According to research from St. Louis-based entrepreneurial support organization ITEN, tech jobs are projected to grow 60 percent over the next three to five years. And with that job growth could come new construction.

Nearly 600 tech companies currently occupy more than 12 million square feet of office space in St. Louis, according to research from CBRE. More than 60 percent of that office space is occupied in either the downtown or West County submarket, the report said. With a Class A office space vacancy rate of just 3.8 percent in West County, one broker said he believes that area of the region should expect tech-related construction in the future. Downtown has higher Class A vacancy rate, at 13.7 percent.

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