It is 2020, and investors are in search of the perfect market in which to purchase their next commercial real estate investment. There is no doubt that the real estate market of Georgia has always been a hot spot for commercial purposes. The commercial real estate of Atlanta, in particular, is now attracting capital from both domestic and foreign means. Moreover, in 2020, Atlanta is to continue being one of the top locations with a high demand for commercial real estate.
Therefore, we've outlined a few of the major reasons below as to why Atlanta, Georgia is projected to be one of the most popular hubs for commercial real estate investment in 2020.
Population Trends
To understand the commercial real estate trends in Atlanta, it is important to know the demographics of the market. Atlanta’s population is currently around half of million. PwC’s Emerging Trends in Real Estate: the United States and Canada 2020 report includes Atlanta among the best places in the Southern region for investment. As Atlanta’s population accelerates at one of the fastest rates in the nation, the year of 2020 is expected to bring in lots of opportunities for commercial real estate investors in Atlanta.
Economic Growth
There is little reason in discussing Atlanta’s commercial real estate without mentioning the economic growth of Atlanta. Atlanta is the most important transportation hub in Georgia with the Hartsfield–Jackson Atlanta International Airport consistently being named the busiest airport in the world.
Other than being a transportation hub, Atlanta also has multiple thriving industries. Leading stock exchange companies, like Invesco and Intercontinental Exchange, have their headquarters in Atlanta.
The capital of Georgia also offers one of the highest quality of medical services with 25 large hospitals and numerous healthcare centers located around the city. Furthermore, some of the top digital media companies, such as Cartoon Network, Gentle Giant Studios, and Floyd County Productions, are Atlanta-based. Atlanta is among the fastest film and TV production cities with over 1120 projects having been filmed since 2007, including major productions such as X-men Apocalypse, Captain America: Civil War, and The Walking Dead.
Most importantly, it is the third-largest city containing the global headquarters of multiple Fortune 500 companies such as The Coca-Cola Company, AT&T, Chick-fil-a, Porsche, Delta Airlines, and UPS.
Moreover, Atlanta’s economy is not just owed to being the home of leading brands and other professional services. In fact, various research centers and engineering companies located in the city of Atlanta are making massive contributions to numerous scientific fields. In the aerospace industry specifically, Siemens’ aerospace and Georgia aerospace are two of the leading aerospace companies among several others in Atlanta that are paving the way for advanced aerospace research around the world.
Business Environments
Although economic growth is a crucial factor in finding the right market for commercial real estate investment in 2020, assessment of a market’s legal and regulatory environment is also necessary to ensure a sound real estate investment. Business-friendliness coupled with low operating costs and taxes are necessary for supporting your investment in commercial real estate. Atlanta is also ranked as the number 1 city for low-cost business. The State of Georgia is known for offering a variety of incentives for starting and even relocating businesses. In Atlanta particularly, it is a lot easier for investors to find assistance in site selection, state tax credits, grants, and loans.
Comparatively, the state of Georgia also has a lower property tax rate than many of the other states in America. The property tax rate in Atlanta is also not that high when compared to the average tax rate of the state itself.
Atlanta’s broad range of businesses and its business-friendly environment has unprecedented benefits and ease for investors in the commercial real estate market.
Wrapping Up
In conclusion, several factors make investing in Atlanta commercial real estate more attractive than ever in the year of 2020. Atlanta’s growing population, booming economy, safe business environment, and low property tax rates make it a perfect place to buy and invest in commercial real estate property. In short, Atlanta’s forecasted commercial real estate trends in the year of 2020 are excellent for investors looking to purchase their next property.
Interested in learning more? Get in touch with one of our licensed commercial brokers to get started today!
