COLUMBIA, MISSOURI | MSA
Growing Population
Columbia topped all cities in Missouri on the “Fastest-Growing City in Each State” list - USA Today
Highly Educated City
Columbia ranked among the “2019 Most Educated Cities” - Insurify
INTRODUCTION Located about halfway between Kansas City and St. Louis, the Columbia, MO, Metropolitan Statistical Area (MSA) is a vibrant, youthful region that is home to the University of Missouri (Mizzou). Beyond Mizzou, Greater Columbia has a lot to offer young professionals and families: a Retiree Friendly low unemployment rate and easy access to shopping, culture, arts, and activities. Columbia recognized among the “Best Places to Retire in Missouri” - Forbes The top industries in the Columbia MSA are education and health care, with the top employers including Mizzou, University of Missouri Health Care, and Columbia Public Schools. Mizzou also underpins the local apartment market. On-campus housing at Mizzou only accommodates about 21% of the students. The school’s enrollment of 30,050 students and 179,000 alumni remaining in the state foster a youthful metrowide population with a median age of 32.8 compared to the 38.9 national Best Place to Live average. The younger demographic results in 32% of the population in the key renter age group, and 41% renter-occupied dwellings, both of Columbia ranked No. 6 among the “2019 Top 100 Best Places to Live” which eclipse the national averages. - Livability
BERKADIA ECONOMIC AND DEMOGRAPHIC OVERVIEW COLUMBIA, MISSOURI | MSA
DEMOGRAPHICS
32.8 70% OF MSA WORKERS ARE IN 87.4 MEDIAN AGE IN THE MSA WHITE-COLLAR COST OF LIVING INDEX POSITIONS IN THE MSA
198.2k 58.3k 17.0 k 31.5k $63.1k
Greater Columbia’s Greater Columbia’s More than 32% of Approximately 24% of Nearly 41% of population is forecast median household residents are in the Columbia’s households Columbia’s housing units to grow 7.6 % over the income is projected to key renter age group, earn $100,000 or more are renter occupied, next five years, reaching between 18 and 35 years annually compared to 31% reach $63,127 by 2025, 198,159 residents old, compared to 23% nationally up 11.6% from 2020 nationally
BERKADIA ECONOMIC AND DEMOGRAPHIC OVERVIEW COLUMBIA, MISSOURI | MSA
METRO INDUSTRY BREAKDOWN
AVERAGE ANNUAL WAGE BY OCCUPATION
The Columbia, MO, MSA has a highly educated workforce, and the economy reflects a balanced Management $ mix of education, health care, insurance, and retail sales. The metro is a regional commercial center 94.4k for Missouri. While Greater Columbia employment contracted by approximately 50 jobs during the 12-month period ending in December 2019, 130 positions were added in the professional and Health Care Practitioners $ business services and in the mining, logging, and construction sectors. In the education and & Technicians 78.6k health services sector, 80 newly created positions were filled, a 0.6% annual increase.
Education, Training, $ & Library 74.0 k Industry Breakdown Mining, Logging, & Construction 3% Business & $ Trade, Transportation, & Utilities Financial Operations 61.4k 15% Education & Health Services 14%
Manufacturing $ 38.3k Financial Activities Professional & Business Services 6% Office & Administrative $ 11% COLUMBIA, MO, MSA Support 34.9k EMPLOYMENT BY
Other Services SECTOR Sales $ 34.8k 3% Manufacturing Transportation & Material $ 4% Moving 31.2k Government Leisure & Hospitality 29% Personal Care & Service $ 26.8k 13% Information 1% Food Preparation & $ Serving 23.2k Source: BLS Occupational Employment Statistics Survey Source: Moody’s
BERKADIA ECONOMIC AND DEMOGRAPHIC OVERVIEW COLUMBIA, MISSOURI | MSA
METRO EMPLOYMENT TRENDS
DECEMBER 2019 2.4% the metro's monthly unemployment rate was up 20 bps annually Employment Trends 8% 6,000 COLUMBIA, MO, MSA LARGEST EMPLOYERS University of Missouri 8,310 6% 4,000 UM Health System 4,830 Columbia Public Schools 2,670 Veterans United Home Loans 2,360 4% 2,000 Harry S. Truman Veterans Hospital 1,600 City of Columbia 1,370 Boone Hospital Center 1,360
2% 0 Shelter Insurance Companies 1,280 Joe Machens Dealerships 780 MBS Textbook Exchange 730
Source: City of Columbia 2019 CAFR 0% (2,000) 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020* Source: Moody's; BLS *Projected Unemployment Rate Jobs Added / Lost
BERKADIA ECONOMIC AND DEMOGRAPHIC OVERVIEW COLUMBIA, MISSOURI | MSA
EDUCATION
UNIVERSITY OF MISSOURI $3.9 billion Mizzou Economic Impact
$74,040 Average Salary in Education Occupations
Home to the University of Missouri (Mizzou), Columbia College, and Stephens College, education is an economic driver in the Columbia, MO, MSA. Mizzou is the top employer in the metro, with 8,310 employees. Mizzou has a $3.9 billion economic impact on the state. Beyond higher education, Columbia Public Schools (CPS) is a top-three employer with 2,670 personnel. Education, training, and library occupations are among the highest paid in the metro, with an average annual salary of $74,040.
HEALTH CARE
UNIVERSITY HOSPITAL 982 Hospital Beds Metrowide
$78,570 Average Salary in Health Care Occupations
The University of Missouri’s presence also benefits the health care field. TheUniversity of Missouri (UM) Health System is the area’s second-largest employer with 4,830 personnel. The academic health system includes five hospitals, all of which are in Columbia. Other top health care employers include the 123-bed Harry S. Truman Veterans Hospital and 394-bed Boone Hospital Center, with 2,960 combined employees. Health care practitioners and technical occupations are among the highest paid in the metro with an average annual salary of $78,570.
BERKADIA ECONOMIC AND DEMOGRAPHIC OVERVIEW COLUMBIA, MISSOURI | MSA
CONSTRUCTION AND DEVELOPMENT
NEXTGEN PRECISION HEALTH INSTITUTE MU SINCLAIR SCHOOL OF NURSING BUILDING
$220.8 million $30 million Development Redevelopment
265,000 104,000 SF Medical Complex SF Building
The University of Missouri broke ground in June 2019 on the $220.8 million In April 2019, the University of Missouri Board of Curators approved a $30 NextGen Precision Health Institute. The five-story, 265,000-square-foot medical million plan to replace the Sinclair School of Nursing Building on Mizzou’s complex will house 60 researchers in more than six fields and will combine campus. The 104,000-square-foot building will be paid for with the nursing research work from all campuses in the University of Missouri system. Faculty school’s reserve funds as well as private gifts and contributions from MU Health and staff from multiple schools including medicine, engineering, veterinary Care. The current building will be demolished, and a smaller building will be medicine, health and environmental science, and arts & science will work in the built over the existing basement. Construction is expected to start spring 2020 building to help design and research products to be used in the medical field, and finish by spring 2022. The new building will allow the school to admit as such as diagnostics and pharmaceuticals. The institute is scheduled to open in many as 40 additional students to the academic program each year, which will the fourth quarter of 2021. represent a 25% increase in enrollment.
BERKADIA ECONOMIC AND DEMOGRAPHIC OVERVIEW COLUMBIA, MISSOURI | MSA
CONSTRUCTION AND DEVELOPMENT
COLUMBIA REGIONAL AIRPORT TERMINAL UMHC WOMEN’S AND CHILDREN’S HOSPITAL
$35 million $250 million Development Expansion
2022 3 First Phase Medical Buildings Scheduled Completion
In November 2019, the Columbia City Council approved the construction of a Construction on a 92,000-square-foot expansion of the University of Missouri new terminal at Columbia Regional Airport (COU). Construction is scheduled Women’s and Children’s Hospital is expected to begin in 2021. The $100 million to begin in summer 2020. The first phase, a60,000-square-foot expansion, is project will be the first ofthree UM Health System projects totaling $250 expected to be complete in spring 2022. The new terminal will be located south million. The second part of the expansion—the $100 million replacement of of the existing terminal, although the existing terminal may stay open through the original University Hospital, built in 1956—will begin in 2023. A $50 million completion of the last phase of construction. medical office building will comprise the last phase of the expansion. It will begin construction in 2024.
BERKADIA ECONOMIC AND DEMOGRAPHIC OVERVIEW COLUMBIA, MISSOURI | MSA
RENT / OCCUPANCY
ASKING $ OCCUPANCY RENT 811 RATE 93.5%
in 4Q19, up 1.0% year over year in 4Q19, up 10 bps annually
Builders delivered 128 apartment units in the metro area in 2019. All these COLUMBIA, MO, APARTMENT MARKET deliveries were at the 384-unit Kelly Farms apartment development in 100% Occupancy & Ask Rent $820 Columbia. In the first half of 2020, the final 136 units at Kelly Farms will be completed. These new units will mark the end of apartment deliveries for the foreseeable future, as no new inventory is present in the local multifamily 96% $800 pipeline.
Minimal apartment deliveries and continued apartment demand were key 92% $780 factors in a 10-basis-point increase in occupancy during 2019. By year-end 2019, average occupancy was 93.5%. Going forward, apartment demand will 88% $760 continue to be aided by students at the University of Missouri, as the school provides enough on-campus housing for only about 21% of its students. 84% $740 Operators recorded average asking rent of $811 per month in the last quarter of 2019, a 1.0% annual increase, slightly below the 1.5% average annual $755 $774 $792 $793 $803 $811 $815 increase from 2014 through 2018. The modest rent increase during the last 80% $720 four quarters should be more favorably viewed, however, as no measurable 2014 2015 2016 2017 2018 2019 2020* concessions were present in the market. In comparison, concessions averaged Source: Reis * YTD PROJECTED Asking Rent Occupancy four days per year from 2014 to mid-2018.
BERKADIA ECONOMIC AND DEMOGRAPHIC OVERVIEW COLUMBIA, MISSOURI | MSA
EDUCATION
HIGHER DEGREES AND EDUCATION 42,700 CERTIFICATIONS 300 students metrowide programs at University of Missouri
The Columbia, MO, MSA is the headquarters of the University of Missouri MIZZOU System, which operates campuses across the state. The University of Missouri (Mizzou) is the flagship campus of the system and the state’s largest university. With an enrollment of 30,050 students, Mizzou attracts students from every U.S. state and more than 100 countries, with over 300 degree programs. The university has a $3.9 billion economic impact on the state and has $205 million in annual research expenditures.
Columbia College (CC) is a private, nonprofit liberal arts and sciences college in Columbia as well as 30 locations nationwide. CC offers 10 associate, more than 30 bachelor’s, and 8 master’s degrees. More than 12,080 students attend classes at the Columbia campus.
Founded in 1833 in Columbia, Stephens College is the second-oldest women’s college in the country. The college has over 660 students pursuing creative arts and health sciences undergraduate and graduate degrees as well as certificate programs.
Moberly Area Community College, Central Methodist University, and William Woods University also operate satellite campuses in Greater Columbia.
BERKADIA ECONOMIC AND DEMOGRAPHIC OVERVIEW COLUMBIA, MISSOURI | MSA
LIFESTYLE AND ENTERTAINMENT
DOWNTOWN COLUMBIA COLUMBIA 150+ PARKS 3.0k restaurants, shops, and services acres with 40 miles of trails
The Columbia, MO, MSA has the amenities of a big city and a friendly, THE ROOTS N BLUES N BBQ FESTIVAL welcoming community. The metro has a young and active vibe due largely to the University of Missouri and a thriving downtown in the city of Columbia.
Downtown Columbia, nicknamed The District, is a live-work-play neighborhood that encompasses 50 square blocks with more than 90 restaurants, approximately 60 shops and services, about a dozen art galleries and studios, and the Blue Note historic theater.
For shopping outside of downtown, Columbia Mall is the largest enclosed shopping center in the region. The 736,100-square-foot mall has more than 90 retailers, including Barnes & Noble, H&M, and Nordstrom.
Greater Columbia is host to many unique festivals, including the True/False Film Fest and the Roots N Blues N BBQ Fest. More than 10,000 people come out each day of the Roots N Blues N BBQ Fest at the 50-acre Stephens Lake Park to enjoy 30 national, regional, and local musicians on two stages, numerous food and beverage vendors, and dozens of visual art installations.
The Columbia MSA has more than 3,000 acres of park and over 40 miles of trails. The Missouri-Kansas-Texas (MKT) Nature and Fitness Trail starts in downtown Columbia and connects to Katy Trail State Park, the longest developed rail-trail in the country.
BERKADIA ECONOMIC AND DEMOGRAPHIC OVERVIEW COLUMBIA, MISSOURI | MSA
TRANSPORTATION
COU COU AIRPORT 265.6k AIRPORT 8.9% passengers in 2019 annual increase in passenger traffic
Located in Central Missouri, the Columbia, MO, MSA is connected to the rest COLUMBIA REGIONAL AIRPORT of the state and the country via Interstate 70 and U.S. Route 63.
The city of Columbia operates Columbia Area Transit System (Go COMO), a public bus and paratransit service, and Tiger Line, a free shuttle service for the University of Missouri seven days a week during the fall and winter semesters.
The city also operates Columbia Regional Airport (COU), the only commercial airport in the region. American Airlines and United Airlines provide direct, nonstop flights from Columbia to Dallas-Fort Worth (DFW), Chicago O’Hare (ORD), and Denver (DEN) International airports. COU passenger traffic totaled 265,592 enplanements and deplanements in 2019, an 8.9% increase in annual activity.
Sources: Berkadia; Tetrad; U.S. Census Bureau; U.S. Bureau of Labor Statistics; Moody’s; Reis; Wikipedia; RealPage; MSN; Insurify; Forbes; Livability; Columbia Convention and Visitors Bureau; University of Missouri Health System; The Columbia Missourian; University of Missouri; KOMU 8; University of Missouri System; The Networks of Mid-Missouri Columbia, MO; City of Columbia; Stephens College; Columbia College; National Center for Education Statistics; Roots N Blues N BBQ Festival; The Downtown Community Improvement District of Columbia, Missouri; Brookfield Properties Inc; Boone County; USA Today; Columbia Regional Airport; Columbia Tribune; KMIZ; National Association of Realtors BERKADIA ECONOMIC AND DEMOGRAPHIC OVERVIEW COLUMBIA, MISSOURI | MSA
BY THE NUMBERS
TOTAL POPULATION MEDIAN AGE 2010 162,642 2010 31.2 2020* 184,184 2020* 32.8 2025* 198,159 2025* 33.6
Growth Rate (2020 - 2025) 7.6%
TOTAL HOUSEHOLDS MEDIAN HOME PRICE 2010 64,077 December - 2018 $186,000 2020* 73,135 December - 2019 $206,200
2025* 79,181 Growth Rate Y-o-Y 10.9% Growth Rate (2020 - 2025) 8.3%
MEDIAN INCOME EMPLOYMENT CHANGE 2010 $47,580 December - 2018 99,900 2020* $56,559 December - 2019 99,800
2025* $63,127 Change Y-o-Y (0.1%) Growth Rate (2020 - 2025) 11.6%
RENT SHARE OF WALLET RENT VS. OWN National - 2020* 29.0% Average Mortgage Payment** $1,041 Columbia, MO Metro - 2020* 17.3% Effective Rent $811
Difference $230
*Projected Annual Rent / Median Household Income **30-yr fixed; 20% down; 4.0% interest rate; 0.99% MO property taxes; $1,000 annual homeowner’s insurance BERKADIA ECONOMIC AND DEMOGRAPHIC OVERVIEW