Aarti Swaminathan

New York City-based Cadre names favorite markets in multifamily, industrial and office

Most people are familiar with the real estate adage “place, place, place.” That’s what a new report from the real estate startup is focused on as the company tries to pinpoint the next big market for its investors.

Founded in 2014 by Ryan Williams, New York City-based Cadre is a real estate technology startup that provides investors and individuals with access to invest in commercial real estate.

In its report, the company calls what it sees as high-growth markets its “most valuable investments.”

Cadre identified the top multifamily, office, and industrial markets by analyzing historical revenue, two-year growth, and the liquidity potential of each market.

Cadre’s top five markets for multifamily unit investments are:

Home to 17 Fortune 500 companies, including Coca-Cola KO, Home Depot HD, UPS UPS, and Delta Air Lines DAL, Atlanta topped the list.

Cadre is bullish on these particular multifamily markets. This is because there is “permanent employment and population growth” and apartment rents are more affordable than the cost of owning a home.

The cost of owning a home has skyrocketed recently as mortgage interest rates above 7% add hundreds of dollars to your monthly mortgage payment.

As employees return to the office, Cadre sees positive signs in markets such as Austin, Charlotte and Nashville, Tennessee.

Cadre’s top five markets for office space investments are:

Top real estate markets for industrial investments include Baltimore, Maryland. Boston; and Charlotte.

Cadre also names Raleigh, North Carolina, as one of the most potential markets for growth in the industrial, multifamily and office sectors.

“Growth in the North Carolina capital city has been rapid and astronomical,” the report said, adding that population growth and employment have remained strong over the past five years.

Cadre said rents in the city have risen 10% year-on-year since June last year. Raleigh also has office rents of 3.49%, which he says are “significantly higher” than other cities on the list of best places to invest in office space.

Raleigh is also an affordable place to live, with “213 sunny days a year,” which is “above the US average,” says Cadre.

Thinking about the housing market? Write to MarketWatch reporter Aarthi Swaminathan (aarthi@marketwatch.com).

-Arti Swaminathan


(Closed) Dow Jones Newswire

10-28-22 1417ET

Copyright (c) 2022 Dow Jones & Company, Inc.

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