Economy in the Philly burbs (Philadelphia, Chester: real estate, layoffs, college)

[maestro]

how are companies in the western burbs (specifically, the KOP area and surrounding areas) doing these days? Are the bigger ones getting hit hard by the funky economy? Moving out of the area?

Is there a decent growth of new companies coming to these areas?

[bryson662001]

Originally Posted by maestro

how are companies in the western burbs (specifically, the KOP area and surrounding areas) doing these days? Are the bigger ones getting hit hard by the funky economy? Moving out of the area?

Is there a decent growth of new companies coming to these areas?

There haven't been any reports of layoffs anywhere. The KOP Mall merchants are always looking for help.

[BPP1999]

Originally Posted by bryson662001

There haven't been any reports of layoffs anywhere. The KOP Mall merchants are always looking for help.

Yes but the KOP merchants are not (I hope) what is driving the KOP economy. I hope it's the corporations such as SunGard in Wayne and Vanguard in Malvern that are driving KOP.

I would say the economy in KOP/Western burbs is doing well.

[maestro]

how about the rest of that area? Are companies growing, stagnant, or conversely downsizing or moving out of town?

[BPP1999]

Originally Posted by maestro

how about the rest of that area? Are companies growing, stagnant, or conversely downsizing or moving out of town?

I can't prove anything but I think most are growing or stagnant. If a large company were to downsize or move out of this region, believe me we'd read about it in the Inquirer and Philadelphia Business Journal. Few companies are moving out of town.

I do know that GlaxoSmithKline, with significant operations in West Conshohocken, Collegeville, and Center City, laid off something like 350 or so between this area and NC.

Also, about 2 or 3 years ago Shire Pharmaceuticals moved to Chesterbrook, which is in Wayne. I think the Western Burbs economy is fine if not strong. It is safe to say that the Philly Metro never does as good as the national economy, but at the same time we never go through really tough times, either. Our economy is generally diverse and stable.

What is happening in many parts of PA is that manufacturers are realizing that they can do it cheaper elsewhere so they're fleeing, though I think the velocity of this has decreased because there's so few manufacturing jobs in PA compared to what there once was.

[bryson662001]

Originally Posted by BPP1999

Yes but the KOP merchants are not (I hope) what is driving the KOP economy. I hope it's the corporations such as SunGard in Wayne and Vanguard in Malvern that are driving KOP.

I would say the economy in KOP/Western burbs is doing well.

Of course but if people loose their jobs they may take a retail job temporarly and apparently that hasn't happened.

[flowergarden]

The western Philly suburbs are significantly impacted by the 8 or so major pharmecuetical companies in the area. GSK laid off 1000 people in December; 350 more recently. The others are not hiring; or hiring very few. The area is currently fairly stagnent as big pharma is stagnent at this time. Very few new people are moving into the area as there are not too many jobs availalbe. This means, of course, that if you do have a new job, there are some great deals to be had in real estate. I don't think the area is going down, but it is laying low for now.

[maestro]

I heard that King of Prussia is doing a new development on an old golf course.

Are there a decent amount of companies moving to the area?

[Duderino]

Originally Posted by maestro

I heard that King of Prussia is doing a new development on an old golf course.

Are there a decent amount of companies moving to the area?

Yes, the 135-acre development, called the "Village at Valley Forge," is planned for an area adjacent to Routes 202 & 422 -- but it probably won't be finished until at least the latter part of next year. Here is the website:

Village at Valley Forge

As for companies moving the area, there has been some talk of BlackRock relocating their headquarters from NYC to Philadelphia, which would be major:

BlackRock may be mulling significant move to Cira South - Philadelphia Business Journal:

However, as others have noted, the U.S. economy appears kind of stagnant at the moment. Thus, I'm not expecting any major company growth or relocation any time soon.

[Duderino]

Originally Posted by bryson662001

There haven't been any reports of layoffs anywhere. The KOP Mall merchants are always looking for help.

I wish that were true. Unfortunately, I noticed this on Philly.com today:

Rohm & Haas Co., one of the nation's largest chemical companies, today said a shrinking paint market and weakening economic conditions were forcing it to close three paint-related chemical plants and eliminate 925 workers in North America.

About 120 to 140 jobs will be lost in the Philadelphia area and Delaware, chief executive officer Raj Gupta said in an interview. Many of the jobs will be eliminated through attrition and retirements, but there will be some terminations, he said.

Rohm & Haas to cut 925 jobs | Philadelphia Inquirer | 06/17/2008

Hopefully there won't be too much more of this.