The city of Atlanta, Georgia, is ranked 17 by Schroders Global Cities 30 Index for being a prime global location for real estate investing. Atlanta is one of 18 American cities claiming a spot in the top 30 of the prestigious rankings. Los Angeles claimed the top spot, climbing from sixth to first.
Schroders uses criteria such as growth potential, top universities, skilled workers with high disposable incomes, excellent infrastructure, and high population as key factors in their ranking system. Approximately 160 markets were analyzed around the globe to comprise the rankings.
Schroders also weighs cultural diversity and access to leisure activity as parameters for making a city a destination for real estate companies globally.
Tom Walker, the co-head of global real estate securities at Schroders, remarked, “We see universities as being critical in powering city economies. Their focus innovation and education help contribute to better earning power for graduates, which better for the economy and for real estate. Knowledge-based hubs are growing in economic strength with a positive knock-on to real estate markets in those locations.”
The technology sector is credited with providing the impetus for a great number of American cities to make the list. Millennial start-up companies in the technology sector require commercial office space and residential properties for their employees.
The city of Atlanta was rated 19 in the rankings for universities. This bodes well for local schools such as Emory University, Georgia State University, Georgia Tech, Kennesaw State University, Clark Atlanta University, Savannah College of Art and Design, Clark Atlanta University, and more in the local area as being perceived globally as academic institutions offering high-level education.
Walker added, “We see universities as being critical in powering city economies. Their focus innovation and education help contribute to better earning power for graduates, which is better for the economy and for real estate.”
Atlanta’s achieved its highest score in the category of retail sales and its lowest score in the category of GDP.
London is the highest-ranked European city, with Beijing and Shanghai making the list in China.
Kenneth Rapoza of Forbes Magazine spoke of the importance of the Schroders Global Cities 30 Index, stating that “the index is mostly used by wealthy, global real estate investors and by institutional firms looking for the best long term value for fixed asset investments.”
Schroders is an investment bank based in London.
[Featured Image by David Goldman/AP Images]