October 2009
Jobs in the pipeline and frequent accolades will ease recession in Metro Denver
Even in the wake of recession, Metro Denver and Colorado are receiving frequent accolades for business climate, workforce, and overall quality of life, according to data collected by the Metro Denver Economic Development Corporation (Metro Denver EDC) in its Monthly Economic Summary for October 2009.
In September, Forbes named Colorado fourth overall in its 2009 "Best States for Business" list. Rankings were based on each state's regulatory environment, business costs, labor supply, quality of life, economic climate, and growth potential. Colorado received top-20 rankings for five of the six criteria, including labor supply (first overall) and growth (second overall).
Also, the Tax Foundation states Colorado has one of the nation’s most favorable business tax climates. The state ranked among the top 15 on the Foundation's 2010 State Business Tax Climate Index, which measures how corporate and individual income taxes, property and sales taxes, and unemployment insurance tax affect economic activity.
These awards may seem to contrast some of the region’s current economic realities – few Metro Denver employers plan to hire in the fourth quarter, foreclosures remain at elevated levels, and commercial real estate activity has weakened.
“These indicators still point to an economy beginning the process of recovery and emphasize a key point,” stated Patty Silverstein, chief economist for the Metro Denver EDC and president of Development Research Partners. “Metro Denver and Colorado still have the strong fundamentals necessary to make recovery happen faster and stronger than other areas of the country. We have many future jobs in the pipeline.”
Developers will break ground next March on Project Keystone, a 350,000-square-foot office building in Aurora that will house the Aerospace Data Facility Colorado. The Data Facility collects intelligence information to support defense operations and has outgrown its current facility at Buckley Air Force Base. Federal officials would provide no further details about the facility or its potential staff count.
In the glow of its busiest month ever in July, Denver International Airport received initial city council approval for a lending arrangement that will fund the airport’s second solar power plant. Meanwhile, officials have shifted their expansion plans for the airport’s main buildings. As conditions improve, officials are readying a six-gate expansion is for the west end of Concourse A. Airport officials say the project contractor will modify the original Concourse C plan, helping construction proceed quickly once market conditions improve and gate space is needed.
A spokesperson for Westminster-based Allos Therapeutics says the company recently received FDA approval for a cancer-fighting drug and will hire 25 additional workers to help market the treatment. The drug – which treats relapsed cases of a rare blood cancer – is Allos’ first commercial product and is now available for prescription.
Cutting-edge technologies are also under development in the region’s medical device manufacturing industry. Lakewood-based CaridianBCT recently won a $5.6 million grant from the U.S. Defense Department which will help the company further develop its blood transfusion safety technology. The proprietary technology – called the Mirasol Pathogen Reduction Technology System – uses ultraviolet light and riboflavin to limit infections in transfused blood. The technology has particular applications for medical care during combat, according spokespeople for the Pentagon.
Eight economic indicators moved in a positive direction this month, compared to 11 indicators in the previous report. The number of indicators moving in a positive annual direction fell from three in the previous report to two in the current report.
The Monthly Economic Summary provides a snapshot of metro area economic activity, as well as its relationship to national and regional economic trends.