CRE Impact: Back-to-School Season
Resumption of In-Person Learning a Catalyst For Commercial Real Estate
Start of academic year unlocks employment growth potential. The return of students to classrooms this fall will stimulate economic growth in the U.S. According to a study by Morning Consult, nearly 2 million workers remain on the sidelines due to child-care challenges, an issue that will abate as primary schools come back into session and child-care tax credits reach parents. The end of federal unemployment benefits in September should also motivate more individuals to find work as the traditional school year resumes. For college towns and major metro submarkets that house universities, the return of students this fall will revive local economic growth, supporting a potential surge in hospitality, retail and education-related job creation. College campuses are unlikely to sway from current reopening plans despite the recent rise in COVID-19 cases, with many institutions requiring students to be inoculated. Vaccine availability for those 12 and older also bodes well for high- and middle-school attendance. Some elementary schools, however, may adjust existing in-person learning schedules until a vaccine is available for students.