COLUMBUS, Ohio – The economy in central Ohio appeared to suffer from the same sluggishness and lack of direction as that of the rest of the state and the nation during the final three months of 2013, according to a report from a public-private development group.
In its fourth-quarter 2013 economic development update, Columbus 2020 says the Columbus metropolitan area added 12,300 jobs last year and continues to perform well compared to other large American cities, but has also seen its work-force shrink and residents’ income lag behind the nation as a whole.
The area saw a 1.3 percent growth in employment and a declining unemployment rate, despite the loss of 4,800 jobs during the September-December period, according to the report.
Housing prices increased during the period, as did per capita personal income, the report showed.
“One of the Columbus region’s advantages is that economic growth is generally stable, neither pitching too steeply so as to open the economy to sharp economic collapse, nor sinking drastically during downturns,” said PNC Financial Services Group assistant vice president and economist Mekael Teshome.
The picture is not bathed in sunshine, however.
Central Ohio’s unemployment rate decreased by 0.8 percentage points from September to December, to 5.8 percent, which is lower than both the Ohio’s 7.2 percent rate and national rate of6.7 percent. This drop can be attributed equally to the loss of 4,400 people from the labor force – those employed or looking for work — and the increase of 4,200 workers who found jobs.
Gains in employment the logistics industry were offset by declines in manufacturing, business services, finance and insurance, healthcare, government and retail.
Columbus is one of only 17 of the nation’s largest cities to see its Federal Housing Finance Agency home price index rebound beyond the pre-recession peak, defined as the first quarter of 2007. The average sale price of a home in the area in 2013 was still well below the high-water mark of $192,424, according to data from the Columbus Board of Realtors.
The Columbus 2020 report says housing prices in the Columbus area have appreciated more than those across the U.S. and outpaced cities like Raleigh, Indianapolis, Oklahoma City and Jacksonville since the end of the recession, defined as mid-2011.
The area’s per capita personal income has increased 5.9 percent since 2009, far ahead of the national average of 3.8 percent, remained 2.8 percent less than the U.S. average in 2012, the report says.
Some other highlights from the report:
Logistics jobs increased 2.0 percent, a stronger gain than the 1.6 percent Ohio increase and 1.2 percent U.S. increase.
Retail suffered a decline of 3,700 from December 2012 to December 2013, versus an Ohio gain of 1.2 percent and a U.S. gain of 2.5 percent.
In 2013, 89 economic development projects created 8,931 jobs.
In December, Columbus 2020 started 17 new projects, more than double the total for December 2012.