The Prospects for 2007

The fallout from the skidding housing market, layoffs in the automotive industry and exotic locales vying for tourism dollars are just a few of the reasons why those in the know are reserved when discussing Southwest Florida's economy in 2007.

"Cautious, but optimistic," sums up Tammie Nemecek, president of the Economic Development Council of Collier County.

Fundamentally, the area's economy is strong, says economist Hank Fishkind, with Orlando-based Fishkind & Associates. Among the positive aspects: Hurricanes stayed away in 2006, allowing the rebuilding from storms Charley and Wilma to continue and luring visitors back to create what Fishkind and others believe will be a sunny tourist season. Employment growth is still a plus, and commercial is a bright spot in the grim real estate market. Fishkind adds that the area's economy is diversifying, with more professional services and healthcare, for example. "All of that, I think, is encouraging," he says.

On the negative side: While Southwest Florida International Airport and Florida Gulf Coast University are major attributes, the inadequacy of I-75 is becoming a liability. Fishkind says it is affecting local economic officials' ability to attract companies that provide equipment and services to The Scripps Research Institute on Florida's east coast. The business generated by that facility is going north to spots such as Port St. Lucie, which is much closer and unencumbered by I-75, he says.

"Traffic is dreadful. It's bad or worse on I-75 than it is on the east coast," he says. "That's a real longerterm issue that needs to have some attention or it will throttle the [west] coast's economic activity."