Savannah Chamber

39 Georgia. The Port of Savannah is accessible on relatively uncongested roads. In addition, it is a short drive to the air cargo and cold storage facilities at Hartsfield-Jackson International Airport. These factors create a near perfect low- cost location for multimodal distribution. Over time, Macon's economy will become even more focused on transportation and distribution. Manufactures that wish to fully integrated production with distribution and logistics will favor sites in Macon. Macon's central location also makes the area a good place to host statewide meetings or conventions. Macon's central business district is redeveloping in ways that should appeal to tourists, especially given its close proximity to a large number of beautifully preserved historic homes. Macon, however, has yet to develop fully this advantage. Nonetheless, the hospitality industry will be a very positive force for growth in 2019 and beyond. Macon's hospitality industry could benefit substantially should proposals to create an Ocmulgee National Park and Preserve from the Ocmulgee National Monument and other public lands come to fruition. The Macon MSA's role as a remote bedroom community for the southern portion of the Atlanta MSA will expand, further stimulating the economic development of Macon's northern suburbs. Atlanta's very strong economic expansion therefore will benefit Macon. The driving time to Atlanta's Hartsfield-Jackson International Airport from downtown Macon often is no greater than from the northern portions of the Atlanta MSA. As Atlanta becomes more congested, sites in Macon will become very attractive to households, private businesses, and state government operations. The city's expansive historic district, places of special interest and revitalization efforts also make Macon an even more attractive hub for business. Some factors will limit the area's economic growth. Although out-migration has slowed and the area's population stabilized in 2017-2018, Macon's population will not grow very much in 2019. It is especially worrisome that too many young adults and middle-aged adults – who are in their prime working years – are leaving the area. In order, the heaviest outmigration flows are to Warner Robins, Atlanta, Austin TX, Savannah, and Columbus. It is likely that the relative shortage of high-tech jobs is a factor behind the outmigration of working-aged adults. The MSA's relatively low levels of educational attainment makes it very difficult to attract the types of companies that are likely to create high proportions of high-tech jobs. On the plus side, each year, the area's institutions of higher education mint a new crop of college graduates. In the Macon MSA, existing single-family home prices peaked in the first quarter of 2008 and bottomed in the third quarter of 2013. The peak-to-trough decline was 18 percent, which was smaller than the decline experienced by the state as a whole. Poor population trends make it very difficult for the area's housing market to recover, however. As of the third quarter of 2018, home prices were 6 percent below their previous peak level, but were up 7 percent on a year- over-year basis. In terms of new construction, the upturn in single-family homebuilding began in 2014 and gained some traction in 2015-18, but activity levels are still very depressed. The outlook for the Macon MSA's homebuilders is positive for 2019, but the recovery will progress slowly. Savannah In 2019, Savannah's employment will rise by 1.2 percent, or 2,200 jobs. The number of jobs created therefore will be similar to the gains realized in 2017-18 – 2,400 jobs in 2017, an estimated 1,600 jobs in 2018. The multiple personality: that of a major tourist attraction, a major airbase, an aerospace manufacturing center, a modern – extraordinarily successful – deepwater port, and a regional hub for health and educational services makes up the grounds for Savannah's continuing success. Gulfstream is the area's largest employer, followed by Memorial Health University Medical Center, Fort Stewart/Hunter Army Airfield, St. Josephs/Candler, and Wal-Mart. Recent changes in the federal tax deductibility of corporate jet purchases – a 100 percent writeoff against earnings – bodes very well for Gulfstream. Savannah also will benefit from the expansion of the film industry. Although the housing bust hard hit the metro area, the restructuring of the information and financial activities industries did not inflict too much damage on Savannah's economy. The leading high-wage industries are aerospace product and parts manufacturing, offices of physicians, and the federal government. The Savannah MSA includes Bryan, Chatham, and Effingham counties.

• Cover