Economic Forecast for Effingham Pretty Rosy

(FROM LEFT: EFFINGHAM CITY ADMINISTRATOR STEVE MILLER, EFFINGHAM COUNTY CHAMBER BOARD PRESIDENT JEFF SPEER OF REMAX KEY ADVANTAGE, AND MIDLAND STATES BANCORP CORPORATE TREASURER MICHAEL KARIBIAN)

The economic forecast for Effingham delivered at the March First Friday Luncheon was pretty rosy.

The speakers were Corporate Treasurer Michael Karibian of Midland States Bancorp, City Administrator Steve Miller, and 2020 Effingham County Chamber of Commerce Board Chairman Jeff Speer of Remax Key Advantage Realtors.

Karibian offered what he termed a "macroview" of the economic future, focusing on the coronavirus outbreak and the damage it has done to the economy. With the losses seen at the stock exchange, Karibian said savers will lose and borrowers and buyers will win. He also suggested that the impact the virus has had in Asian nations, it could lead companies to return production back to North America.

Karibian also asked those in attendance to keep the coronavirus in perspective, saying there've been about a dozen deaths in the US as opposed to the 18,000 to 46,000 flu deaths seen in our nation each year.

Regarding the city, Miller noted that Effingham's EAV rises each year, and the city's sales tax revenue increased $600,000 over the past two years. Miller also shared about some of Effingham's key economic tools, such as Tax Increment Financing districts, Enterprise Zones, Business Districts and Opportunity Zones.

Miller acknowledged that a commercial project is expected on Effingham's busy northwest side, but could offer no details, and also shared that the City is working on two large industrial projects,

Speer shared that the average price for residential properties is $136,000, and the value of rental properties goes up 1-1/2%-2% each month. He said that Effingham County bucks the population trend, too, as the population here rose while it fell statewide.

Speer said a residential property valued at between $130,000 and $250,000 should sell in between 30 and 60 days.

The consensus was that Effingham County needs more employees.