The next group of fast growing cities may have a whole new focus. What is it? What will it mean for businesses and real estate investment?
Trends are changing. We’ve seen some big changes in which cities are most popular and prosperous over the last decade. More twists and turns are coming. Savvy business owners and investors are those that look ahead and put themselves ahead of the curve. So where will America’s next fastest growing cities be? What is driving them? How can you benefit?
Trending Cities
In the early 2000s we saw a boom in real estate towns with sprawling suburbs. Las Vegas, Ft. Myers, and California’s Inland Empire all benefited. Then it was tech jobs starting with San Francisco, San Diego, New York, Charlotte, and Austin. Then more recently we’ve seen a global trend toward building entire ‘smart cities’. They’ve been popping up in the UAE and India. The Trump win has created a slight revering of this with more jobs being added to old industrial areas. However, there only so many of those jobs which can be brought back and sustained. So, what’s next?
The Health & Wellness Boom
Going green and increasing sustainability has been a big driving factor over the last few years. That is only likely to continue to spread. Countries, states, and cities are increasingly pushing the boundaries of being sustainable. However, there is something even bigger and more important. That is health and wellness. The industrial era destroyed our environment and health. We have a massive boomer generation who are urgently motivated to preserve their health and wellness, and millennials appear to care even more about wellness than previous generations. Of course, most of our big cities aren’t designed to optimize health at all. A new trend in healthy cities could drive population migration, investment, and growth to new destinations.
The Tampa Project
The redevelopment of downtown Tampa appears to be the flagship of healthy cities. A new strategic partnership including the owner of the Tampa Bay Lightning hockey team, and backers linked to the Gates, and multiple high profile celebrities is investing an estimated $2B into creating an entire wellness district.
This goes beyond the basics of green building and LEED certification to a new set of wellness standards. The area will incorporate smarter building practices and a community designed for walkability, sustainability, and healthiness. There will be residences, hotels, retail, office, education, and medical properties. Features will include managing lighting, fresh air supply, healthier construction materials, healthy food options, gardening spaces, design which promotes superior mental health, and businesses which are friendlier to nonprofit causes and provide better care for their employees.
The Impact
Where we see major new development like this we can normally also expect to see population growth, new job creation, increased positivity, a flourishing local economy, higher demand for housing and higher house values, as well as follow up investment.
This means an area which attracts great talent, cutting edge businesses, affluent individuals, new building, and in turn great returns for real estate investors.
This won’t be exclusive to Tampa. This is likely a trend to continue to spread from coast to coast in the US, and around the world. But, it should create exciting opportunities, with spurts of growth and returns in the process.
Smart Moves for Real Estate Investors
Get involved. Follow these trends. Be there. Visit and see what’s happening on the ground in addition to watching the data. Be investing in those cities where the numbers make sense. Serving the needs for housing. Incorporating healthy and sustainable elements into rehabs and business places, and position yourself as a local leader and participant in decisions. Or bring these trends and new best practices to your current city.
