odessa market report 2009

2009 Texas Metro Market Overview Odessa

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Table of ContentsIntroduction ............................................................................................. 1

MSA Map ................................................................................................ 2

Demographics ........................................................................................ 3

Education................................................................................................ 8

Employment............................................................................................ 9

Economy............................................................................................... 16

Infrastructure ........................................................................................ 17

Multifamily ............................................................................................. 19

Housing ................................................................................................ 20

Hotel ..................................................................................................... 26

Real Estate Center ............................................................................... 27

Market reports are updated annually. The Real Estate Center also publishes market news, which is updated continuously throughout the year. It allows market analysts to access the most current information available. For more current informa-tion about this Metropolitan Statistical Area (MSA) or any of the other Texas MSAs, please go to http://recenter.tamu.edu/mnews/.

Note: In 2003, the U.S. Census Bureau revised its definition of counties included in some Texas Metropolitan Statistical Areas (MSAs). As a result, most information presented in this report reflects Texas’ 2003 MSA definition. However, some of the data reported to the Center continue to use the Bureau’s 1999 definition. Data using the1999 MSA definition are stated where applicable.

2009 Texas Metro Market Overview

Quick FactsMSA Land Area (2003 definition) 901.68 square miles2008 Population Density 146.3 people per square mileCounties Ector

Area Cities and TownsGardendale, Goldsmith, Greenwood, Odessa, Notrees, Penwell, Pleasant Farms*This report's MSA data reflects either 1999 or 2003 MSA definitions based on data availability. Use of 1999 definition is noted where applicable.

Sources: U.S. Census Bureau and Real Estate Center at Texas A&M University

Odessa

Microsoft product screen shot reprinted with permission from Microsoft Corp.

Odessa is at the industrial and commer-cial crossroads of West Texas. Neighbor to Midland, this city was named the fourth top city in America for doing business by Inc.com and newgeography.com in their 2008 survey of the “Best Cities for Doing Business.” The city is about halfway between Dallas–Fort Worth and El Paso and is the Ector County seat.

The metropolitan area is within the 100-mile–radius Permian Basin. The region is in the heart of the largest single source of oil and gas deposits in the United States. The local economy is heavily dependent on the oil and gas industry.

The University of Texas of the Permian Basin (UTPB) is home to Odessa’s Presidential Museum and Lead-ership Library. It is the only facility of its kind in the United States dedicated to the office of the Presidency, not just a single president.

Odessa College boasts notable alumni including Ty Murray, seven-time all around world pro rodeo champion.

The La Entrada al Pacífico trade corridor is a route from the Pacific Ocean port of Topolobampo in the Mexican state of Sinaloa to Texas and beyond by way of the Midland-Odes-sa area. Designated as “Trade Corridor 56” by the Inter-modal Surface Transportation Efficiency Act, the corridor is a joint project between Mexico and the United States. Sources: Odessa Convention & Visitors Bureau, Odessa Development Corporation and Midland Economic Development Corporation

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Introduction


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ANDERSON

ANDREWS

ANGELINA

ARANSAS

ARCHER

ARMSTRONG

ATASCOSA

AUSTIN

BAILEY

BANDERA

BASTROP

BAYLOR

BEE

BELL

BEXAR

BLANCO

BORDEN

BOSQUE

BOWIE

BRAZORIA

BRAZOS

BREWSTER

BRISCOE

BROOKS

BROWN

BURLESON

BURNET

CALDWELL

CALHOUN

CALLAHAN

CAMERON

CAMP

CARSON

CASS

CASTRO

CHAMBERS

CHEROKEE

CHILDRESS

CLAY

COCHRAN

COKECOLEMAN

COLLIN

COLLINGSWORTH

COLORADOCOMAL

COMANCHE

CONCHO

COOKE

CORYELL

COTTLE

CRANE

CROCKETT

CROSBY

CULBERSON

DALLAM

DALLASDAWSON

DEAF SMITH

DELTA

DENTON

DE WITT

DICKENS

DIMMIT

DONLEY

DUVAL

EASTLAND

ECTOR

EDWARDS

ELLIS

EL PASO

ERATH

FALLS

FANNIN

FAYETTE

FISHER

FLOYDFOARD

FORT BEND

FRANKLIN

FREESTONE

FRIO

GAINES

GALVESTON

GARZA

GILLESPIE

GLASSCOCK

GOLIAD

GONZALES

GRAY

GRAYSON

GREGG

GRIMES

GUADALUPE

HALE

HALL

HAMILTON

HANSFORD

HARDEMAN

HARDIN

HARRIS

HARRISON

HARTLEY

HASKELL

HAYS

HEMPHILL

HENDERSON

HIDALGO

HILL

HOCKLEY

HOOD

HOPKINS

HOUSTON

HOWARD

HUDSPETH

HUNT

HUTCHINSON

IRION

JACK

JACKSON

JASPER

JEFF DAVIS

JEFFERSON

JIM HOGG

JIMWELLS

JOHNSON

JONES

KARNES

KAUFMAN

KENDALL

KENEDY

KENT

KERR

KIMBLE

KING

KINNEY

KLEBERG

KNOXLAMAR

LAMB

LAMPASAS

LA SALLE

LAVACA

LEE

LEON

LIBERTY

LIMESTONE

LIPSCOMB

LIVE OAK

LLANO

LOVING

LUBBOCK

LYNN

MCCULLOCH

MCLENNAN

MCMULLEN

MADISON

MARION

MARTIN

MASON

MATAGORDAMAVERICK

MEDINA

MENARD

MIDLAND

MILAM

MILLS

MITCHELL

MONTAGUE

MONTGOMERY

MOORE

MORRIS

MOTLEY

NACOGDOCHES

NAVARRO

NEWTON

NOLAN

NUECES

OCHILTREE

OLDHAM

ORANGE

PALO PINTO

PANOLA

PARKER

PARMER

PECOSPOLK

POTTER

PRESIDIO

RAINS

RANDALL

REAGAN

REAL

RED RIVER

REEVES

REFUGIO

ROBERTS

ROBERTSON

ROCKWALL

RUNNELS

RUSK

SABINE

SANAUGUSTINE

SANJACINTO

SAN PATRICIO

SAN SABA

SCHLEICHER

SCURRYSHACKLEFORD

SHELBY

SHERMAN

SMITH

SOMERVELL

STARR

STEPHENS

STERLING

STONEWALL

SUTTON

SWISHER

TARRANT

TAYLOR

TERRELL

TERRY THROCKMORTON TITUS

TOM GREEN

TRAVIS

TRINITY

TYLER

UPSHUR

UPTON

UVALDE

VAL VERDE

VAN ZANDT

VICTORIA

WALKER

WALLER

WARD

WASHINGTON

WEBB

WHARTON

WHEELER

WICHITAWILBARGER

WILLACY

WILLIAMSON

WILSON

WINKLER

WISE

WOOD

YOAKUM YOUNG

ZAPATA

ZAVALA

24

25

23

22

2120

19

1817 16

15

14

13

12

11

10

9

8

7

6

5

43

2

1

Metropolitan Statistical Areas (MSAs)

1. Abilene 2. Amarillo 3. Austin–Round Rock 4. Beaumont–Port Arthur 5. Brownsville-Harlingen 6. College Station–Bryan 7. Corpus Christi 8. Dallas–Fort Worth–Arlington 9. El Paso10. Houston–Sugar Land–Baytown11. Killeen–Temple–Fort Hood12. Laredo13. Longview

14. Lubbock15. McAllen-Edinburg-Mission16. Midland17. Odessa18. San Angelo19. San Antonio20. Sherman-Denison21. Texarkana22. Tyler23. Victoria24. Waco25. Wichita Falls

Prepared by the Labor Market and Career Information Department, TWCEdited by Real Estate Center at Texas A&M University

MSA Map


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DemographicsArea Cities With 10,000 or More Residents

City1990

Population2000

PopulationGrowth 1990–2000

(in percent)

Odessa 89,699 90,943 1.4Source: U.S. Census Bureau

Distribution by Race and Hispanic or Latino Origin, 2000(in percent)

Ector County Texas

White 73.7 71.0

Black 4.6 11.5

Asian 0.6 2.7

American Indian 0.8 0.6

Other 17.4 11.7

Two or more races* 2.8 2.5

Hispanic (of any race) 42.4 32.0Source: U.S. Census Bureau (1999 definition)

Odessa MSA Population*

Year PopulationPercent Change

1997 121,749 -

1998 123,544 1.5

1999 122,450 -0.9

2000 121,123 -1.1

2001 120,866 -0.2

2002 122,361 1.2

2003 122,948 0.5

2004 124,293 1.1

2005 125,339 0.8

2006 127,462 1.7

2007 129,570 1.7

2008 131,941 1.8*July 1 population estimates

Source: U.S. Census Bureau

Household CompositionEctor

County Texas

Average household size (2000) 2.72 2.74

Population younger than 18 (2000, in percent) 30.4 28.2

Population 65 and older (2000, in percent) 10.9 9.9Source: U.S. Census Bureau (1999 definition)


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WacoTyler

MidlandLubbock

LongviewSherman-Denison

San AngeloAbilene

Beaumont–Port ArthurWichita Falls

Texarkana

Texas Metropolitan AreaPopulation Growth Forecast, 2000–2020

0% 10% 20% 30% 40% 50% 60% 70% 80% 90%

LaredoMcAllen-Edinburg-Mission

Austin–Round RockBrownsville-Harlingen

Dallas–Fort Worth–ArlingtonEl Paso

Houston–Sugar Land–BaytownKilleen–Temple–Fort Hood

TexasCorpus Christi

San AntonioAmarillo

College Station–BryanVictoriaOdessa

Source: Texas State Data Center – Scenario 0.5 (2006 projection)

Odessa MSA Projected Population

YearTexas State Data Center

(Scenario 0.5)Texas Water Development

Board

2000 121,123 121,123

2005 126,619 -

2010 132,773 132,759

2015 138,705 -

2020 143,904 144,073

2025 148,864 -

2030 153,887 154,160

2035 158,779 -

2040 163,099 163,141Sources: Texas State Data Center (2006 projection) and Texas Water Development Board (2006 projection)


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Interstate and Cross-Border

2008 Migration Patterns – traffic flow by state/province Based on 84,447 Interstate Household Goods Moves from January 1, 2008 through December 31, 2008

2008 Migration Patterns

Inbound – More than 55% of total shipments moving into the state (subtotal on bottom).

Outbound – More than 55% of total shipments moving out of the state (subtotal on top).

Balanced – Inbound and outbound individually represent 55% or less of total shipments.







NEW MEXICO Year Inbound Outbound

2008 923 750 2007 986 757 2006 1,164 833 2005 1,210 760 2004 1,172 636 2003 1,022 736 2002 876 777 2001 908 1,026 2000 831 1,104 1999 736 974

NEW YORK Year Inbound Outbound

2008 3,043 4,220 2007 3,313 4,953 2006 3,297 5,026 2005 3,636 5,574 2004 3,659 5,634 2003 3,396 4,859 2002 3,583 4,981 2001 4,101 5,645 2000 4,214 6,409 1999 3,820 5,617

NORTH CAROLINA Year Inbound Outbound

2008 3,923 3,045 2007 4,374 3,056 2006 4,851 3,220 2005 4,656 3,505 2004 4,309 3,369 2003 3,858 3,098 2002 3,648 2,935 2001 3,908 3,149 2000 4,260 3,471 1999 4,031 3,078

NORTH DAKOTA Year Inbound Outbound

2008 207 253 2007 193 143 2006 169 120 2005 166 133 2004 188 142 2003 201 106 2002 148 166 2001 176 214 2000 177 219 1999 131 169

OHIO Year Inbound Outbound

2008 2,131 3,339 2007 2,345 3,841 2006 2,677 3,755 2005 3,116 4,052 2004 3,337 4,203 2003 2,933 3,686 2002 3,113 3,362 2001 2,874 3,201 2000 3,017 3,461 1999 3,144 3,043

OKLAHOMA Year Inbound Outbound

2008 961 869 2007 937 957 2006 1,020 1,061 2005 943 1,030 2004 951 983 2003 821 1,088 2002 820 1,053 2001 949 1,371 2000 899 1,438 1999 932 1,273

OREGON Year Inbound Outbound

2008 987 682 2007 1,026 818 2006 1,239 721 2005 1,421 799 2004 1,298 994 2003 1,118 967 2002 1,198 937 2001 1,504 1,227 2000 1,768 1,440 1999 1,418 1,279

PENNSYLVANIA Year Inbound Outbound

2008 2,328 2,800 2007 2,652 2,866 2006 2,890 3,103 2005 3,146 3,152 2004 2,943 3,412 2003 2,939 3,095 2002 2,909 2,933 2001 2,959 3,377 2000 2,922 3,957 1999 2,838 3,744

RHODE ISLAND Year Inbound Outbound

2008 252 291 2007 315 300 2006 334 340 2005 294 305 2004 342 318 2003 398 290 2002 339 178 2001 312 199 2000 313 250 1999 334 274

SOUTH CAROLINA Year Inbound Outbound

2008 1,825 1,538 2007 2,023 1,757 2006 2,087 1,710 2005 2,092 1,856 2004 1,909 1,780 2003 1,637 1,526 2002 1,414 1,385 2001 1,438 1,630 2000 1,423 1,605 1999 1,469 1,419

SOUTH DAKOTA Year Inbound Outbound

2008 220 238 2007 185 214 2006 205 244 2005 215 226 2004 215 210 2003 204 308 2002 217 309 2001 223 321 2000 221 332 1999 207 299

TENNESSEE Year Inbound Outbound

2008 1,963 1,519 2007 2,289 2,047 2006 2,670 1,970 2005 2,481 1,999 2004 2,099 2,155 2003 1,908 1,988 2002 2,006 2,092 2001 1,647 1,881 2000 1,815 2,045 1999 1,802 1,966

TEXAS Year Inbound Outbound

2008 8,629 6,442 2007 8,831 6,665 2006 9,714 6,812 2005 9,525 7,210 2004 8,644 7,442 2003 8,075 6,920 2002 7,723 6,778 2001 9,030 7,584 2000 10,063 8,659 1999 8,718 7,945

UTAH Year Inbound Outbound

2008 512 552 2007 596 630 2006 733 658 2005 836 756 2004 670 759 2003 548 663 2002 544 745 2001 601 855 2000 666 953 1999 649 874

VERMONT Year Inbound Outbound

2008 154 165 2007 174 150 2006 198 186 2005 218 161 2004 228 174 2003 276 183 2002 243 183 2001 225 81 2000 196 98 1999 229 95










Texas Migration Patterns 2008

Data are based on Atlas Van Lines Interstate and Cross-Border Household Goods Moves per calendar year. Atlas analyzes data in January on the origins and destinations of the company’s interstate moves during the prior 12 months.

Source: Atlas Van Lines Jan. 2009 http://www.atlasworldgroup.com/migration


~6~

Texas Metropolitan Area Population* Change

Metropolitan Area 1998 2008Percent Change

Austin–Round Rock 1,155,579 1,652,602 43.0

McAllen-Edinburg-Mission 537,929 726,604 35.1

Laredo 182,994 236,941 29.5

Dallas–Fort Worth–Arlington 4,917,993 6,300,006 28.1

Houston–Sugar Land–Baytown 4,534,979 5,728,143 26.3

San Antonio 1,659,847 2,031,445 22.4

Brownsville-Harlingen 324,556 392,736 21.0

Texas 20,157,531 23,843,432 18.3

Tyler 171,033 201,277 17.7

Killeen–Temple–Fort Hood 325,335 378,935 16.5

College Station–Bryan 179,498 207,425 15.6

Sherman-Denison 107,020 118,804 11.0

El Paso 671,250 742,062 10.5

Amarillo 221,447 243,838 10.1

Waco 209,800 230,213 9.7

Lubbock 246,865 270,610 9.6

Midland 118,321 129,494 9.4

Odessa 123,544 131,941 6.8

Longview 193,114 204,746 6.0

Texarkana 128,718 135,509 5.3

San Angelo 105,787 109,563 3.6

Victoria 110,758 114,313 3.2

Corpus Christi 403,818 415,376 2.9

Abilene 158,264 159,521 0.8

Beaumont–Port Arthur 382,827 378,255 -1.2

Wichita Falls 151,206 147,328 -2.6*July 1 population estimates

Source: U.S. Census Bureau


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~8~

Education

Educational Attainment, Persons Age 25 and Older, 2000 (in percent)

CountyHigh school

graduateSome college,

no degreeAssociate’s

degreeBachelor’s

degreeMaster’s degree

Doctorate degree

Ector 26.8 23.8 5.4 8.6 2.3 0.2

Texas 24.8 22.4 5.2 15.6 5.2 0.8Source: U.S. Census Bureau

Educational Level, Persons Age 25 and Older (in percent)

Level of EducationOdessa-Midland

MSA Texas

High School Graduate or Higher 73.5 79.2

Bachelor’s Degree or Higher 18.4 23.9Source: U.S. Census Bureau, 2000 (1999 definition)

Local College and University Enrollment, Fall SemesterSchool 2004 2005 2006 2007 2008

Odessa College 4,569 4,788 4,571 4,580 4,687

University of Texas of the Permian Basin 3,291 3,406 3,462 3,559 3,496Source: Texas Higher Education Coordinating Board


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Employment

20,000

30,000

40,000

50,000

60,000

70,000

Tota

l Ann

ual J

obs

Distribution of Employment in Major Categories Odessa MSA

0

10,000

2004 2005 2006 2007 2008

Natural Resources and Mining and Construction ManufacturingTrade, Transportation and Utilities InformationFinancial Activities Professional and Business ServicesEducational and Health Services Leisure and HospitalityGovernment

Source: Texas Workforce Commission and Real Estate Center at Texas A&M University


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TexasDallas–Fort Worth–Arlington

TexarkanaAmarillo

Corpus ChristiEl Paso

LubbockWaco

AbileneBeaumont–Port Arthur

Wichita Falls

Metropolitan Area Nonfarm Employment Change 1998–2008

0% 10% 20% 30% 40% 50% 60%

McAllen-Edinburg-MissionMidlandLaredo

Austin–Round RockBrownsville-Harlingen

Killeen–Temple–Fort HoodLongview

College Station–BryanSan Antonio

TylerHouston–Sugar Land–Baytown

OdessaTexas

Note: San Angelo, Sherman, Victoria MSAs no longer collect employment dataSources: Texas Workforce Commission and Real Estate Center at Texas A&M University


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Texas Metropolitan Area Nonfarm Employment Change

Metropolitan Area 1998 2008Percent Change

McAllen-Edinburg-Mission 140,000 218,600 56.1

Laredo 63,500 90,300 42.2

Austin–Round Rock 600,700 777,400 29.4

Brownsville-Harlingen 99,700 126,300 26.7

Midland 56,000 70,200 25.4

Killeen–Temple–Fort Hood 103,600 126,900 22.5

Longview 81,000 98,400 21.5

College Station–Bryan 78,200 94,700 21.1

San Antonio 705,500 853,200 20.9

Tyler 79,500 95,800 20.5

Houston–Sugar Land–Baytown 2,167,400 2,602,700 20.1

Odessa 53,300 63,400 18.9

Texas 8,938,300 10,616,800 18.8

Dallas–Fort Worth–Arlington 2,569,000 2,986,300 16.2

Texarkana 51,100 58,100 13.7

Amarillo 100,000 113,400 13.4

Corpus Christi 161,700 183,100 13.2

El Paso 247,900 278,200 12.2

Lubbock 117,100 130,700 11.6

Waco 97,000 107,400 10.7

Abilene 62,900 67,900 7.9

Beaumont–Port Arthur 160,700 164,600 2.4

Wichita Falls 61,500 61,700 0.3

San Angelo n/a n/a n/a

Sherman-Denison n/a n/a n/a

Victoria n/a n/a n/aSources: Texas Workforce Commission and Real Estate Center at Texas A&M University

*Note: San Angelo, Sherman and Victoria MSAs no longer collect employment data


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0.0

1.82.4

0.0

0.4 1.4

3.1

6.3

4.2

6.7

-2.0

0.0

2.0

4.0

6.0

8.0

cent

Cha

nge

from

Pre

viou

s Ye

ar

Nonfarm Employment Growth Odessa MSA

-8.1

-10.0

-8.0

-6.0

-4.0

1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008

Perc


Odessa MSA Nonfarm Employment

Year EmploymentPercent Change

1998 53,300 -1999 49,000 -8.12000 49,900 1.82001 51,100 2.42002 51,100 0.02003 51,300 0.42004 52,000 1.42005 53,600 3.12006 57,000 6.32007 59,400 4.22008 63,400 6.7Sources: Texas Workforce Commission and Real Estate Center at Texas A&M University


~13~

16.02

16.25

16.53

16.64

16.75

16.91

18.21

18.94

19.54

19.72

19.87

19.98

TylerAmarilloOdessa

San AntonioLubbock

Beaumont–Port ArthurTexas

College Station–BryanMidland

Houston–Sugar Land–BaytownAustin–Round Rock

Dallas–Fort Worth–Arlington

2007 Average Hourly Wage

13.35

14.27

14.67

15.25

15.25

15.31

15.41

15.43

15.5

15.54

15.66

15.88

15.92

10 12 14 16 18 20 22

Brownsville-HarlingenLaredo

AbileneTexarkana

Wichita FallsEl Paso

LongviewKilleen–Temple–Fort Hood

Sherman-DenisonSan Angelo

WacoCorpus Christi

Victoria

Note: Data reflect most recent year surveyedSource: Texas Workforce Commission


~14~

10.6

5.45

6.66.8

5.96

8

10

12

Perc

ent

Unemployment RateOdessa MSA

4.7

3.93.4 3.4

0

2

4

1999 2000 2001 2002 2003 2004 2005 2006 2007 2008


Employment Growth by IndustryOdessa MSA Texas

Employment Growth 2008 (Percent Change) 6.7 2.1

Unemployment Rate 2008 (Percent Change) 3.4 4.9

Net Job Change in 2008 4,000 221,7002008 Employment Growth by Sector (Percent Change)

Natural Resources and Mining and Construction 15.9 5.4

Manufacturing 4.7 -1.1

Trade, Transportation and Utilities 4.6 3.1

Information 0.0 -1.7

Financial Activities 7.7 0.8

Professional and Business Services 7.3 2.8

Educational and Health Services 1.8 3.1

Leisure and Hospitality 5.4 2.8

Government 1.1 2.4Sources: Texas Workforce Commission and Real Estate Center at Texas A&M University


~15~

Odessa Top Ten EmployersEmployer Sector Employees

Ector County ISD Education 3,430

Medical Center Hospital Health care 1,786

Saulsbury Companies Electrical, computers & construction 1,165

Holloman Companies Oil field construction 1,000

Walmart Retail 923

City of Odessa Government 867

Odessa Regional Hospital Health care 740

Odessa College Education 710

Haliburton Services Oil and gas 685

University of Texas of the Permian Basin Education 659Source: Odessa Development Corporation, Sept. 2008

Odessa Top Ten Private EmployersEmployer Sector Employees

Saulsbury Companies Electrical, computers & construction 1,165

Holloman Companies Oil field construction 1000

Walmart Retail 923

Odessa Regional Hospital Health care 740

Haliburton Services Oil and gas 685

Nurses Unlimited Inc. Health care 582

Weatherford CPS Oil and gas 553

Telvisa Inc. Customer service 550

Bobby Cox Companies Inc. Retail-restaurants 457

Investment Corp. of America Financial 447Source: Odessa Development Corporation, Sept. 2008


~16~

Economy

5,000 7,000 9,000 11,000 13,000 15,000 17,000 19,000 21,000

Dallas-Plano-Irving MDOdessaMidlandAmarilloLubbock

TylerLongview

Houston–Sugar Land–BaytownTexas

Austin–Round RockKilleen–Temple–Fort Hood

Fort Worth–Arlington MDAbileneLaredo

VictoriaSan Angelo

San AntonioWaco

Beaumont–Port ArthurSherman-Denison

College Station–BryanWichita Falls

El PasoCorpus Christi

McAllen-Edinburg-MissionTexarkana

Brownsville-Harlingen

Note: Data reflect most recent year surveyed; MD = subset of an MSASource: Texas Comptroller's Office

2008 Gross Retail Sales Per Capita

Odessa MSA Gross Retail SalesYear Total Sales Sales per Capita

1998 $1,335,075,505 $10,806

1999 $1,305,096,621 $10,658

2000 $1,425,344,239 $11,768

2001 $1,576,728,511 $13,045

2002 $1,410,034,999 $11,524

2003 $1,507,156,839 $12,258

2004 $1,560,547,775 $12,555

2005 $1,867,146,500 $14,897

2006 $2,218,178,344 $17,403

2007 $2,464,029,695 $19,017

2008 $2,705,404,820 $20,505State Average 2008: $16,904

Source: Texas Comptroller’s Office


~17~

Infrastructure

Midland Airline BoardingsAirport 2004 2005 2006 2007 2008

Midland International Airport

Enplaned 414,522 446,937 473,851 491,321 487,403

Deplaned 415,965 445,893 469,207 486,010 481,961Total 830,487 892,830 943,058 977,331 969,364

Source: Midland International Airport

`

Midland Airport Cargo Statistics (in pounds)Airport 2004 2005 2006 2007 2008

Midland International Airport

Enplaned 2,453,540 2,757,216 3,122,293 3,181,692 3,194,802

Deplaned 3,221,278 3,834,982 4,484,639 4,596,756 4,616,503Total 5,674,818 6,592,198 7,606,932 7,778,448 7,811,305



~18~

3,000,000

4,000,000

5,000,000

6,000,000

7,000,000

8,000,000

9,000,000

850,000

900,000

950,000

1,000,000

Cargo (in lbs)

Pass

enge

rs

Midland Airline Boardings and Cargo Statistics Totals

0

1,000,000

2,000,000

750,000

800,000

2004 2005 2006 2007 2008

Passengers Cargo



~19~

Multifamily

200

250

300

350

400

450

500

Uni

ts

5+ Multifamily Building PermitsOdessa-Midland MSA

0

50

100

150

Source: U.S. Census Bureau and Real Estate Center at Texas A&M University 1999 MSA definition

Data reflects years in which data is available.

Odessa–Permian Basin Apartment Statistics 2008Odessa–

Permian BasinTexas Metro

Average

Average rent per square foot $0.68 $0.83

Average rent for units built since 2000 $0.52 $0.90

Average occupancy 98.3% 93.9%

Average occupancy for units built since 2000 97.2% 94.9%Source: Apartment MarketData Research


~20~

Housing

2%

4%

6%

8%

10%

12%

Prev

ious

Yea

r

National Home Price AppreciationThe HPI for each geographic area is estimated using repeated observations of housing values for individual single-family residential properties on which

at least two mortgages were originated and subsequently purchased by either Freddie Mac or Fannie Mae.

-10%

-8%

-6%

-4%

-2%

0%

4Q-9

8

2Q-9

9

4Q-9

9

2Q-0

0

4Q-0

0

2Q-0

1

4Q-0

1

2Q-0

2

4Q-0

2

2Q-0

3

4Q-0

3

2Q-0

4

4Q-0

4

2Q-0

5

4Q-0

5

2Q-0

6

4Q-0

6

2Q-0

7

4Q-0

7

2Q-0

8

4Q-0

8

Cha

nge

from

California Florida Texas USA

Source: Office of Federal Housing Financing Agency

5.0%

10.0%

15.0%

20.0%

25.0%

Cha

nge

from

Pre

viou

s Ye

ar

Home Price Appreciation Odessa MSA

The HPI for each geographic area is estimated using repeated observations of housing values for individual single-family residential properties on which at least two mortgages were originated and subsequently purchased by either Freddie Mac or Fannie Mae.

-5.0%

0.0%

4Q-9

8

2Q-9

9

4Q-9

9

2Q-0

0

4Q-0

0

2Q-0

1

4Q-0

1

2Q-0

2

4Q-0

2

2Q-0

3

4Q-0

3

2Q-0

4

4Q-0

4

2Q-0

5

4Q-0

5

2Q-0

6

4Q-0

6

2Q-0

7

4Q-0

7

2Q-0

8

4Q-0

8

Odessa Texas USA

Source: Office of Federal Housing Enterprise Oversight


~21~

4.0

6.0

8.0

10.0

12.0

14.0

Perc

ent

Price Distribution of MLS Homes Sold Odessa-Midland Area

0.0

2.0

2006 2007 2008

Source: Real Estate Center at Texas A&M University

2008 Housing Affordability Index

MLS2008 Median-Priced Home

Required Income to

Qualify

Median Family Income HAI*

HAI for First-Time Homebuyers**

Odessa $166,200 $39,140 $47,000 1.20 0.72

Texas $97,600 $22,985 $55,000 2.39 1.55

United States $196,600 $46,152 $61,500 1.33 0.66*The HAI is the ratio of the median family income to the income required to buy the median-priced house using standard mortgage financing at the current interest rate. Standard financing is a fixed-rate, 30-year loan covering 80 percent of the cost of the home. A HAI of 1.00 indicates that the median family income is exactly equal to the required income to qualify for the standard loan to purchase the median-priced house.

**First-time home buyer is assumed to purchase a home equal to the first quartile home price using a 90 percent home loan at an interest rate 0.5 percent greater than the standard current rate.



~22~

Price Distribution of MLS Homes Sold, Odessa-Midland Area (in percent)

Price Range 2002 2003 2004 2005 2006 2007 2008$29,999 or less - - - - 5.8 3.3 2.4

30,000–39,999 - - - - 5.4 3.2 2.3

40,000–49,999 - - - - 6.0 3.6 3.0

50,000–59,999 - - - - 7.5 5.1 2.9

60,000–69,999 - - - - 10.8 5.3 4.4

70,000–79,999 - - - - 8.6 7.7 6.6

80,000–89,999 - - - - 8.6 8.4 6.7

90,000–99,999 - - - - 6.3 6.4 8.7

100,000–119,999 - - - - 9.3 10.0 11.7

120,000–139,999 - - - - 10.1 12.7 11.5

140,000–159,999 - - - - 4.3 8.4 9.5

160,000–179,999 - - - - 4.3 4.9 6.4

180,000–199,999 - - - - 2.8 4.7 5.8

200,000–249,999 - - - - 5.1 7.4 6.8

250,000–299,999 - - - - 2.3 4.6 5.2

300,000–399,999 - - - - 1.7 2.7 3.9

400,000–499,999 - - - - 0.3 0.7 1.3

500,000 and more - - - - 0.7 1.0 0.9

“-” represents unreported data or nonparticipation in Real Estate Center’s survey.


Property Tax Rate 2008

Taxing Entity*Tax Rate per $100

Valuation

City of Odessa 0.562

Ector County ISD 1.129

Ector County 0.358Total $2.05*Only the typical taxing entities are listed. However, there are numerous taxing entities that need to be taken into account for an actual tax rate calculation. See following link for a more complete list: http://www.ectorcad.org/dis.php?p=taxrates

Source: Ector County Appraisal District


~23~

$108,600

$133,300

$144,200

$60 000

$80,000

$100,000

$120,000

$140,000

$160,000

Average Sales Price Odessa-Midland MLS

$0

$20,000

$40,000

$60,000

1999 2000 2001 2002 2003 2004 2005 2006 2007 2008


Data not available through 2005

0.4

0.5

0.6

0.7

0.8

0.9

1

600

800

1,000

1,200

1,400

1,600

1,800

Months Inventory

Sale

s

Yearly Home Sales and Months Inventory Odessa-Midland MLS

0

0.1

0.2

0.3

0

200

400

600

1999 2000 2001 2002 2003 2004 2005 2006 2007 2008

Sales SupplySource: Real Estate Center at Texas A&M University

Months Inventory measures the current absorption rate and how long it would take for current supply to be depleted if no other listings came on the market. Data not available through 2005.


~24~

60

80

100

120

140

160

180

Uni

ts

Single-Family Home Sales VolumeOdessa-Midland

0

20

40

60

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

2006 2007 2008


$60,000

$80,000

$100,000

$120,000

$140,000

$160,000

300

400

500

600

700

800

Average Value

Uni

ts

Single-Family Building Permits and Average ValueOdessa-Midland

$0

$20,000

$40,000

0

100

200

1999 2000 2001 2002 2003 2004 2005 2006 2007 2008

Units Average Value

Source: U.S. Census Bureau and Real Estate Center at Texas A&M University 1999 MSA definition


~25~

1.5

2.0

2.5

3.0

8.00

10.00

12.00

14.00

16.00

18.00

Mortgage Rates30-Year Fixed

Rat

ePoints

0.0

0.5

1.0

1.5

2.0

2.5

3.0

0.00

2.00

4.00

6.00

8.00

10.00

12.00

14.00

16.00

18.00

Annual Average Rate Annual Average Points


Rat

ePoints

Source: Federal Home Loan Mortgage Corporation

0.2

0.4

0.6

0.8

1.0

1.2

1.4

1.6

1.8

2.0

1.00

2.00

3.00

4.00

5.00

6.00

7.00

8.00

9.00


Rat

ePoints

0.0

0.2

0.4

0.6

0.8

1.0

1.2

1.4

1.6

1.8

2.0

0.00

1.00

2.00

3.00

4.00

5.00

6.00

7.00

8.00

9.00

Annual Average Rate Annual Average Points


Rat

ePoints

Source: Federal Home Loan Mortgage Corporation


~26~

HotelHotel* Occupancy and Rental Rates

2007 2008Odessa Texas Odessa Texas

# Rooms (in thousands) 1.8 349.7 1.9 360.4

Average daily rate $73.52 $85.28 $88.10 $89.78

Occupancy rate (in percent) 71.6 61.4 76.4 61.4*Only properties exceeding $18,000 in the current quarter are included; those units below $18,000 only result in 1.5 percent of the total state revenues, and have been excluded from this database.

Sources: Office of the Governor Economic Development and Tourism and Source Strategies Inc. of San Antonio

This annual report is provided free by the Real Estate Center at Texas A&M University. We strive to provide the most accurate and up-to-date data to paint a detailed picture of Texas’ Metropolitan Statistical Areas. However, links contained in this report may change or become obsolete. The Real Estate Center advises contacting the original source regarding broken links.

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