Agenda - Council Work Session - 11/24/2009

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DEMOGRAPHIC ANALYSIS . The Market Area saw significant increases in other family households (+3,222 households, or +50%), which includes single-parents and unmarried couples with children. Roommate households also saw an increase of +1,410 households (+52%) in the Market Area during the 1990s. Growth in this household type reflects the societal trend of unmarried couples living together. Many ofthese households are candidates for affordable rental housing, particularly single parent households. . The number of people living alone grew by +5,310 households (+77%). This reflects the in- creased number of people choosing to remain single, some singles preferring not to have roommates and an increase in the number of seniors. Because they rely on a single income, households living alone are often candidates for affordable rental housing. Employment Growth Trends and Projections The strength of the labor market and locations of employers are key components that drive .household growth in an area, since many households desire to live near their places of employment for convenience. Over the past several years, however, households have been more willing to commute from homes in outlying areas to employment centers in order to obtain new construction homes at affordable price points. This trend fueled home sales in the outlying areas of the Twin Cities Metropolitan Area in the early part of the decade. Jobs Located in the Market Area Table D-8 presents data on historic and forecast employment growth trends in Market Area communities. The information in Table D-8 is supplied by Metropolitan Council and has been adjusted by Maxfield Research Inc. using current employment data from the MN Department of Employment and Economic Development and our estimates of projected employment growth during the next decade based on a slower recovery in employment markets. We expect that em- ployment growth will not occur in any substantial measure until after 2013 and previous fore- casts have been reduced by 20%. Following Table D-8 is Table D-9, which presents covered employment for Anoka County in 2000 and 2008 (the most recent annual data available). Covered employment data is calculated as an annual average and reveals the number of jobs in the County that are covered by unem- ployment insurance. Most farm jobs, entrepreneurs and some other types of jobs are not covered by unemployment insurance and are excluded from the table. The data comes from the Minne- sota Department of Employment and Economic Development (DEED). · Since employment growth generally fuels household growth, employment trends are an im- portant indicator of housing demand. From 1990 to 2000, the Market Area experienced strong employment growth with an increase of +37.9%, or about +16,930 jobs. · In the PMA, the community that led employment growth numerically and by percentage was Andover,which added +1,860 jobs for a growth rate of +155.2%. Following close behin large share of growth also occurred in the Ramsey (+1,646 jobs, +84.8%). MAXFIELD RESEARCH INe.