Savannah Chamber

28 Oglethorpe opened on the 24-acre site with a Hobby Lobby, Dick's Sporting Goods, T.J. Maxx, PetSmart, Ulta, Longhorn Steakhouse, Chick-fil-A, Panda Express and other national retailers. On a longer-term basis, it appears the Savannah River Landing project, a $500 million investment on 57 acres, may see construction of Phase I beginning in 2018. This would include residential development along with parking infrastructure funded by a $24 million bond issuance of the City of Savannah. Hotel development continues throughout Savannah. Construction on the $270 million Plant Riverside District continued through 2017. Completion of the 419-room JW Marriot hotel, retail, dining, and entertainment space is expected in late 2018 or 2019. This is one of the largest private developments ever experienced in Savannah; at 670,000 square feet, it is expected to create 700 new jobs. Rockbridge Capital's adjacent $72 million 173-room hotel commenced in mid-year, and includes a $14 million investment in streetscape and river walk by the City of Savannah. Another dozen or so hotel projects planned or under construction could add another 1,500 hotel rooms in Savannah during the upcoming two to three years. Savannah's industrial and warehousing market extended the trend of substantial growth in 2017. Exceptional growth in port activity and underlying broad strength in the regional economy continued to drive demand and push the vacancy rate down to a stunning rate of 1.2%. This is well below the equilibrium vacancy rate and the historical average of about 8%. New inventory of 4.4 million square feet was completed and delivered in 2017. Additionally, 3.4 million square feet of new inventory is under construction with delivery expected in 2018, with 54% already committed to users. 2018 is expected to be another very good year, even as new inventory is delivered. The market has attracted the attention of large nationwide developers, also a promising sign for 2018 and beyond.

• Cover