Jan. 13, 2010
Renee DeGross Valdes, 404-413-1353
ATLANTA - Georgia State University economist Rajeev Dhawan says national job growth will be non-existent until mid-2010 due to the lack of business investment, especially in the technology sector. In Georgia, the job base is down nearly 8 percent from its peak and losses will continue this year with no relief in sight until 2011.
"Job growth is only possible if businesses invest in tech equipment and software," said Dhawan during his economic forecast to the real estate community during the 23rd annual "Views from the Top" breakfast on Jan. 12.
Beyond job growth, banks are deleveraging and small business will continue to face credit problems and a skeptical consumer, said Dhawan, the director of the Economic Forecasting Center in the J. Mack Robinson College of Business.
He added that real estate will continue to be a sore spot for the year with residential and commercial facing major issues in the metro area.
"We're creeping along the bottom when it comes to residential real estate," Dhawan said. "What's more, there are no new projects in the pipeline when it comes to commercial real estate in Atlanta."
The annual "Views from the Top" event, which also featured Ethan Penner, executive managing director and president of Los Angeles-based CBRE Capital Partners, and Mark Elliott, a partner and practice group leader of office and industrial properties at Troutman Sanders law firm in Atlanta, was presented by Georgia State's Real Estate Alumni group and the Real Estate Investment Advisory Council.