That is why it is no surprise that the “sunshine states” continue to lead the pack. There is a high probability that in nine of the top 10 states (Northern Indiana being the only exception) developers and users can build 365 days of the year. Winter weather conditions typically do not halt construction, and the permitting processes are ranked the most favorable in the country.
According to research from Cushman & Wakefield, as of Q2 2016, there are 4.0 billion square feet of industrial inventory in the South region (6.9 percent vacancy), with 83.1 million square feet under construction and 38.3 million square feet delivered. Still, the national commercial real estate market continues to lack high-quality product, and states and communities that can deliver a building quickly — or get one out of the ground for the lowest cost — are going to win the businesses.
Fortunately, some states afford their local units of government great flexibility when it comes to incentives, enabling them to aggressively attract new development. In the South, local governments traditionally have been aggressive in incorporating incentives into every deal. They find real above-the-line costs that can ease the pain for users and developers, such as property tax abatements, sales tax abatements, site preparation grants, and free land. Additionally, power companies play a bigger role in economic development down South — offering discounted power and sometimes even infrastructure credits. Because at the end of the day, if the facilities and labor are present and costs are competitive, businesses will come.
TOP STATES FOR DOING BUSINESS 2016
- 1.Georgia
- 2.South Carolina
- 3.Texas
- 4.Tennessee
- 5.Louisiana
- 6.Alabama
- 7.Florida
- 8.Indiana
- 9.North Carolina
- 10.Mississippi
- 11.Ohio
- 12.Nevada
- 13.California
- 14.Kentucky
- 15.Arizona
- 16.Arkansas
- 17.Oklahoma
- 18.Michigan
- 19.New York
- 20.South Dakota
Individual Categories
Overall Cost of Doing Business
- 1.Texas
- 2.South Carolina
- 3.Tennessee
- 4.Florida
- 5.Georgia
- 6.Alabama
- 6.tNorth Carolina
- 8.Mississippi
- 9.Oklahoma
- 10.Indiana
Corporate Tax Environment
- 1.Florida
- 2.Texas
- 2.tNevada
- 4.South Dakota
- 5.Wyoming
- 6.Georgia
- 6.tAlabama
- 6.tIndiana
- 9.Tennessee
- 10.South Carolina
- 10.tMississippi
- 10.tUtah
Business Incentives Programs
- 1.South Carolina
- 2.Louisiana
- 3.Georgia
- 4.Tennessee
- 5.Texas
- 6.Alabama
- 7.New Jersey
- 8.Mississippi
- 9.Florida
- 9.tIndiana
Access to Capital & Project Funding
- 1.Texas
- 2.California
- 3.New York
- 4.Georgia
- 5.Florida
- 6.Tennessee
- 7.North Carolina
- 8.Colorado
- 8.tMassachusetts
- 10.Ohio
- 10.tIllinois
Competitive Labor Environment
- 1.Texas
- 2.Georgia
- 3.North Carolina
- 4.South Carolina
- 5.Alabama
- 6.Tennessee
- 7.Florida
- 7.tMississippi
- 9.Idaho
- 9.tUtah
Leading Work Force Development Programs
- 1.Georgia
- 2.Louisiana
- 3.South Carolina
- 4.Tennessee
- 5.Alabama
- 6.Florida
- 7.North Carolina
- 8.Indiana
- 8.tMichigan
- 8.tCalifornia
Cooperative & ResponsiveState Government
- 1.Georgia
- 2.South Carolina
- 3.Louisiana
- 4.Tennessee
- 4.tFlorida
- 6.Ohio
- 7.Indiana
- 8.Mississippi
- 8.tAlabama
- 10.North Carolina
Favorable Regulatory Environment
- 1.Texas
- 2.Georgia
- 3.South Carolina
- 4.Tennessee
- 5.Louisiana
- 6.Alabama
- 7.Florida
- 8.Indiana
- 9.Arizona
- 10.Mississippi
Speed of Permitting
- 1.South Carolina
- 2.Georgia
- 3.Alabama
- 4.Tennessee
- 5.Texas
- 6.Indiana
- 7.Louisiana
- 8.Mississippi
- 9.Florida
- 10.Kentucky
Most Improved Economic Development Policies
- 1.Indiana
- 1.tOhio
- 3.South Carolina
- 4.Georgia
- 5.Michigan
- 6.Alabama
- 7.Tennessee
- 8.New Mexico
- 9.North Carolina
- 9.tArizona
-
Categories:
- Overall Rank
- Corporate Tax Environment
- Business Incentive Programs
- Access to Capital & Project Funding
- Competitive Labor Costs
- Leading Work Force Development Programs
- Cooperative & ResponsiveState Government
- Favorable Regulatory Environment
- Speed of Permitting
- Most Improved Economic Development Policies