Economic Developers around the country ears perked up with the recent announcement by Uber that it would bring a new regional hub to Deep Ellum in Dallas. The hub would add about 3,000 new workers to the Epic Development in Deep Ellum. The new jobs would pay at least $100,000 annually totaling more than $300,000,000 in new wages.
The deal had such high potential the State of Texas made one of its largest awards from the Texas Enterprise Fund (TEF), the state’s deal-closing fund. $24 million to be exact.
I saw many headlines of the deal in articles from respected entities like CNBC, the Dallas Morning News, or MarketWatch. What I didn’t see was any context about how impactful the additional high wage jobs would be in the area or even how the jobs would compare to other areas of the state.
This is a common occurrence in today’s quick news cycle. We are in such a rush to tweet the most current news, we don’t slow down to think about the context. So, let me shed a little light on the topic of context.
The day that the team at Westdale and KDC put a shovel in the ground, Deep Ellum was set on a journey towards a greater significance in employment in the core of Dallas.
The average wage for all jobs located in Deep Ellum is currently estimated at $68,000. Uber’s presence in Deep Ellum will grow over the next three years and result in an average wage by 2023 of more than $94,000.
The move will vault Deep Ellum from a current ranking of 152nd in the state for high wage employment to a likely ranking in the top 20 sub-markets in the state for high wage employment. The presence of Uber’s Regional Headquarters will also reduce the gap between average wage in greater downtown Dallas and Deep Ellum from about 30% currently to less than 3% in 2023.
For more statistics or visualizations of the change to employment and wages, we have placed them here.
Before you email me or send me a LinkedIn message, I know that Uber had a huge loss in its first quarter as a publicly traded company. There is not enough ink in the barrel to speculate as to whether Uber will succeed as a company, much less the sustainability of the jobs they are bringing to Texas.
This piece is simply providing context to the project announcement since we can assume that 6 of 10 people did not actually read the article when first published in August.