New Haven Market Report
Rollback in Reopening May Temper Employment Recovery; Investment Sales Begin to Rebuild Momentum
Residential shift could help in job restoration. The health crisis combined with acute population density may have pushed 16,000 New Yorkers to Connecticut between March and June. While some of these individuals are simply spending more time in their second homes, others will be new to the area. This trend, aided by remote work options that will likely be scaled back in 2021, does not undo eight years of negative net migration but could aid in the near-term job recovery. About 53 percent of the 145,300 jobs lost between February and April have been restored through September, bringing the unemployment rate down to 8.0 percent, just above the national level. As expected, staff cuts were most prevalent in the leisure and hospitality sector as health precautions limited foot traffic at bars, restaurants and hotels. Rising COVID-19 infections in the fourth quarter may stall rehiring in this and other sectors.