OpinionIndustry News

High-rise real estate boom reshapes nation

Future-Proof: Navigate Threats, Seize Opportunities at ICNY 2018 | Jan 22-26 at the Marriott Marquis, Times Square, New York

There are eight factors driving the real estate high-rise boom. Of these, the primary driver is home equity. Significant high-rise development doesn't make sense in markets where single-family homes cost less than $250 per square foot. 1. Demographics: There will be more than a 25 percent increase in the population of people over the age of 50 this decade, many of whom prefer not to own a high-maintenance home. This "over 50" group will also have far more money than any generation before, thanks to dual incomes, rising home prices, and record levels of inheritance. Many will choose luxury-high-rise, resort-like living, while others will prefer a more affordable "move down" alternative to an area where they don't have to waste valuable time on the roads. 2. Government Policy: I never thought I'd say this, but governments are "getting it." Many cities are "built out," yet their populations continue to grow. Some city government officials want high-rise living to boost the wealth and i...