Confirming recent reports in the March issue of the national publication, Inc. Magazine, Richard Mount, an economist with the Monmouth County Planning Board, reported to the Monmouth County Board of Freeholders recently that the economy in the county remains strong and is expected to remain so in the second half of 2004.
Citing various indicators, Mount said the major factors that generate current growth are sustainable in the near-term and will stimulate growth in the long-term, according to a press release.
For example, he indicated that the ratable base of the county continues to grow at an increasing rate, just as it has for the past 11 years. This year it grew at a record 16 percent. Moreover, total employment grew rapidly in 2004, as well. Between 2000 and 2004, employment in Monmouth County rose by 8.1 percent, as opposed to the statewide average during the same period of 1 percent. The national average is 2 percent.
Mount said that growth in small firms, construction and retail stores have helped to propel the economy here. For example, office vacancy rates are relatively low in the county. Today the office vacancy rate in Monmouth County is approximately 16 percent, which is the fourth lowest rate in the northern half of the state, with Somerset County having the highest vacancy rate of almost 40 percent. One of the factors driving the office rental market in Monmouth is the relatively low rental rates. The county ranks third lowest of all the counties in northern New Jersey with an average rate of $22 per square foot. Hudson County has the highest average office rental rate in the state with a $28.50 rate, according to the press release.
"Incomes continue to rise faster than the state and national averages," Mount noted.
The median household income in Monmouth County is about 17 percent higher than the state and 53 percent higher than the national average.
Another factor driving the economic surge is the growth in population. The 2000 Census showed that the strength in population is concentrated in the households with parents in the 35- to 55-year-old age bracket with growing families. The Census also showed that the number of Monmouth residents working in New York is growing rapidly.
Mount said that "a significant part of the growth in population is due to the quality-of-life in Monmouth County," as well as strong employment prospects. These gains in population are fueling increases in local construction and retail employment, according to the press release.
Low interest rates and growth in population have stimulated growth in residential housing to a near 14-year high, he stated. The appreciation in real state values remains above the national average, as well.
According to Mount, retail sales are at a record high, again due to the increase in population and income averages. Building materials, furniture and automobile retail sales are exceptionally strong.
Studies show that recent transportation improvements and improvements that are now under way will provide better access to Monmouth County for commuters and tourists. Ferry service makes Monmouth County increasingly attractive to Manhattan commuters, according to the press release.
"This report certainly confirms what we have been saying all along," said Freeholder Director Harry Larrison Jr. "It goes right along with what some of the national publications have been reporting over the last several years – Monmouth County is a great place to live. There are a lot of people that deserve credit for the great place we live in. I’d like to take this opportunity to thank each and every one of them for a job well done."
In an article in the March 2004 issue of Inc. Magazine, the Monmouth County-Ocean County area is ranked 16th in "The Top U.S. Cities for Doing Business" out of 89 medium sized cities listed.