TEXAS SNAPSHOT, AUGUST 2005

Odessa

With the bubbling retail and industrial activity in Odessa, it’s no wonder the city is expanding to provide the infrastructure to support its growing needs.

Currently, Odessa is experiencing industrial development in south Odessa due to Interstate 20, rail, the location of the South Odessa Enterprise Zone and the existing Parkway Industrial Park that is home to Family Dollar’s Texas distribution center and TelVista Inc., which together employ around 1,000 West Texans.

The Odessa Industrial Development Corporation (OIDC), a private non-profit development group comprised of local business owners and community leaders, and the Odessa Development Corporation (ODC), which is a 4A economic development sales tax corporation, are the major developers in the area. The OIDC is in the process of purchasing more than 600 acres intended for industrial development. Twenty-acre or more tracts will be made available for use by industrial-type companies.

Concerning the retail market, Odessa has opened several new stores within the past year, including a 27,000-square-foot Goody’s, a Sherwin Willams Paint Store and a Finishline Sports in Music City Mall. Dunlap’s is currently constructing a new building. Lack’s has leased 50,000 square feet at 42nd Street and Grandview. Two auto dealerships are also under construction in the city.

“The restaurant industry is booming,” says A. Neil McDonald Jr., director of economic development for Odessa. Johnny Carino’s Italian restaurant has leased 8,000 square feet on East 42nd Street. Texas Roadhouse, Buffalo Wild Wings and Sandhills Steakhouse have opened locations, and Hooters is set to open in early 2006.

Because of the recent surge in industrial and retail developments, the Texas Department of Transportation is planning to increase Odessa’s infrastructure by expanding the JBS Parkway by building overpasses at BI-20 and IH-20 within the next few years.

“Home builders are enjoying a robust era,” says McDonald. Odessa currently has four new housing developments and another development has recently broken ground. The developments are all located in the northeast area of the city due to the availability of residential land. With the current housing shortage in the area, these developments will provide executive housing and housing for middle-income families.

Fairfield Inns and Hampton Inns have both opened hotels within the past 2 years, and two existing hotels have been completely remodeled.

The current vacancy rate for retail in Odessa averages between 10 and 15 percent, with the industrial vacancy rate hovering around 2 percent.

All in all, Odessa is experiencing increasing growth in its industrial and retail sectors that is sure to continue in the future. With the expansion of major roadways, the rise in the development of single-family homes and the availability of more hotel rooms, the city’s expanding infrastructure will serve it well and prove that Odessa is ready for the long-haul.

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