The third quarter 2015 numbers from the Arkansas Tech Business Index, a project created by the Arkansas Tech University College of Business and sponsored by Arvest Bank, can be summed up in one word: consistency.
Eight municipalities in the Natural State completed third quarter 2015 with an ATBI rating above 100, and they are the same eight cities that held that distinction at the close of second quarter 2015.
Northwest Arkansas maintained its hold on the top of the rankings. Bentonville (1st, 107.56) and Rogers (2nd, 106.06) set the pace.
Dr. Marc Fusaro, associate professor of economics at Arkansas Tech and developer of the ATBI, attributed the strong performance of those two cities to home sales.
“The greatest strength for Bentonville and Rogers in the third quarter is the housing market with index values above 110,” said Fusaro. “This is due primarily to strong housing sales in Benton County, totaling 1,548 for the quarter. In addition, retail was a strong sector for Rogers in the third quarter and for Bentonville in September. Bentonville also continues to see strength in residential construction permits with $41 million during the quarter.”
The prosperity in Benton County combined with similar figures from Washington County — Springdale (3rd, 105.57) and Fayetteville (4th, 105.45) — give the northwest corner of the state the top four positions on the third quarter 2015 ATBI.
“The index results only confirm what we have been seeing in action here in Benton County,” said Roger Holroyd, Arvest Bank president in Siloam Springs. “Growing businesses need workers and workers need houses to live in, so the strong surge in housing construction and mortgage demand fits in with the continued strength of business in Northwest Arkansas.”
Conway (5th, 101.47), Fort Smith (6th, 101.38), Mountain Home (7th, 100.68) and Hot Springs (8th, 100.58) round out the eight cities with a third quarter 2015 ATBI rating over 100.
“In central Arkansas, we are seeing the various industries hold steady just as the index indicates,” said John Womack, president and chief executive officer of Arvest central Arkansas. “Our banks in Conway and Hot Springs, two markets ranked in the top ten of the index, are seeing steady economic growth. We’ll continue to provide our business customers solid financial products that will help sustain consistent economic activity across this market.”
The ATBI is a comprehensive measure that provides a snapshot of economic activity around the Natural State.
It encompasses a labor index, housing market index, construction index and retail sales index. The index is based around 100. A city rating above 100 indicates that the city is currently doing better than the state average from 2009 to the present.
Van Buren (9th, 99.61), Russellville (10th, 99.00), Searcy (11th, 98.11), El Dorado (12th, 97.22), Jonesboro (13th, 97.15), North Little Rock (14th, 96.66), Texarkana (15th, 96.42), West Memphis (16th, 96.27), Pine Bluff (17th, 93.47) and Little Rock (18th, 92.80) complete the quarterly ATBI ratings.
In the monthly ratings, Bentonville led for September 2015 with an index value of 109.01. It marks the fourth time in the last five rankings and the sixth time in the 21-month history of the ATBI that Bentonville has held the No. 1 position.
Rogers (+2.15 points), Texarkana (+1.62 points), Conway (+1.41 points), West Memphis (+1.13 points), Little Rock (+0.85 points) and Russellville (+0.85 points) were also among the municipalities that fared well in September.
Visit www.atu.edu/atbi to access the data used to develop the ATBI.
