EDR
SEATTLE
MARKET
CONFIDENCE
INTRODUCTION
The Seattle Market Confidence Index is based on a survey of local
environmental due diligence professionals that was conducted in
early December 2016, prior to EDR’s DDD workshop in Bellevue on
December 8, 2016 to gauge the audience’s perspective on the
current state of the environmental site assessment (ESA) market.
“
THE SEATTLE DUE DILIGENCE MARKET IS:
“Flooded with consultants. Fast turnarounds. Price Sensitive.”
“Business is expanding to more environmentally questionable sites.”
HOW RISK-AVERSE ARE YOUR CLIENTS:
In Seattle, lender risk aversion is 3.27 on a scale from 1 to 5.
Investors were slightly less risk averse at 2.67.
21%
Rising Quickly
INDEX
Rising Slowly
2.67 Risk Aversion of your
30%
INVESTOR clients
Plateauing
3.27 Risk Aversion of your
49%
LENDER clients
0%
Declining
0
10
20
30
40
1= very tolerant of “red flags”
5 = very risk averse
50
51% characterize Seattle as a growing market.
PRICE AND TURNAROUND TIME SENSITIVITY
TOP 3 CHALLENGES ENVIRONMENTAL PROFESSIONALS FACE
How sensitive are your clients to price and turnaround time in
selecting a Phase I ESA provider?
1= NOT VERY,
OTHER FACTORS
MATTER MORE
5= MOST
IMPORTANT FACTOR
PRICE
3.62
TURNAROUND
TIME
4.29
“
1
1
2
Intense competition
Pressure
for
fast
delivery
2
3
3
4
Pressure to lower price
5
One out of three respondents picked “5”.
“Commoditization of services with emphasis on low cost
and rapid turnaround time.”
MARKET OUTLOOK
On a scale of 1-5, what is your outlook for the Seattle due diligence market just one year from now?
5= VERY
CONFIDENT
1= VERY
PESSIMISTIC
1
2
3.79
3
4
5
“
“Steady”
“No huge growth or decrease expected”
EDR ScoreKeeperTM State Profile - Third Quarter 2016: Washington
Total Phase I ESA volume in Washington has been steady relative to 2015.
WASHINGTON: PHASE I ESA TREND LINE…
TOP 50 U.S. METROS WITH WA COMPONENTS
Market
Rank
(out of Top 50
Metros in U.S.)
Current
Phase Is
3Q16
Percent
Change
vs. 3Q15
SEATTLE
10th
1,125
6%
PORTLAND, OR
15th
815
18%
The EDR ScoreKeeper™ service is the market monitor for the environmental due diligence industry. EDR clients rely on ScoreKeeper™
reports for strategic intelligence on Phase I environmental site assessment activity by region, state, metropolitan area and individual
firm. For more information, visit www.edrnet.com/scorekeeper.