Oklahoma City always has a “backbone” and is always “determined.”
It almost sounds like a consolation prize if they reward real estate development and investment prospects.
It’s something. It seems off, however, given the buzzing local economy.
Mean. Mean. Mean. Mean. Mean. That’s all we get in Emerging Trends in Real Estate 2022, the annual survey of the Urban Land Institute and PwC (PricewaterhouseCoopers).
This may be the time between research / interviews and publication.
Compared to the gloomy and gloomy outlook outlined in last year’s investigation – researched, written, and published during the throes of the pre-vaccine coronavirus pandemic – this one is positively cheerful.
But it does show that Oklahoma City, despite one of the lowest unemployment rates in the country, a healthy and engaged public sector and a growing tech sector that is opening new avenues, as follows:
â¢ Average investor demand.
â¢ Average in development and redevelopment opportunities.
â¢ Average of public and private investments.
â¢ Average availability of debt and equity.
â¢ And an average local economy.
But, we’re good enough, we’re smart enough, and damn, people love us!
Oklahoma City is still a “market to watch,” according to Emerging Trends 2022:
â¢ # 75 in Global Real Estate Outlook, flanked by # 74 Providence, Rhode Island, and # 76 Gainesville, Florida.
â¢ No. 50 in Home Building Prospects, flanked by No. 49 in northern New Jersey and No. 51 in Louisville, Kentucky.
Emerging Trends places Oklahoma City in the “determined competitor” subgroup of its “backbone” market category with Louisville, Indianapolis, Kansas City, Missouri and Birmingham, Alabama. The other sub-groups are “The Affordable West” and “Reinventing”.
The Backbone category “includes a wide variety of interesting and pleasant places to live and work”.
Well, I think so.
“Although they are generally rated relatively less in the Emerging Trends Survey, many of these metropolitan areas offer investment development / redevelopment opportunities. These 18 major markets have over 30 million people,” indicates the report. “Although the Affordable West subgroup’s markets are growing strongly, most of the Backbone markets are growing slower but benefiting from moderate housing and business costs.”
It doesn’t sound so bad – or average. Slow but steady wins the race, as they say.
The other major markets of the âThe Affordable Westâ sub-group include fast-growing small and medium-sized cities away from the âexpensive coastal marketsâ of Los Angeles, the San Francisco Bay Area and San Diego, in California.
They include Albuquerque, New Mexico; Spokane, Washington; Coeur d’Alene, Idaho; Tacoma, Washington; Tucson, Arizona; and Sacramento, Calif., which actually landed in the Top 30 for Global Outlook.
“One of the things that makes Sacramento attractive is that there is housing available here that may not be available in other parts of the state,” according to a local interviewee. âSacramento is still, compared to other parts of the state, relatively reasonable. “
We know affordable housing in Oklahoma City compared to the coasts. We didn’t win much in this edition of Emerging Trends.
The other main markets of the “Reinvent” sub-group are cities in the East and Midwest “looking to modernize their economic base”, former manufacturing centers that “are moving towards a more sustainable mix of education, of health care and technology â.
They include Buffalo, New York; Cincinnati and Cleveland in Ohio; Detroit, Michigan; Hartford, Connecticut; Milwaukee, Wisconsin; Providence, Rhode Island; and St. Louis, Missouri.
A year ago, hardly anyone had seen a recovery like this happen so quickly. The emerging trends of the past year have made the soul tremble: âThe COVID-19 pandemic seems poised to affect almost every aspect of our lives, including the use of real estate, for many years. decades. “
The title of this year? âFlexibility and resilience dominate the real estate industry as work, leisure and even healthcare spaces are redefined. “
Of course, while real estate has rebounded to pre-pandemic levels in record time, COVID-19 “has left a lasting wait-and-see approach on society,” the report says.
Even today, I walked into a supermarket – instead of rushing, masked, entering and exiting a small store – for the first time since March 2020.
An awards lunch last week, the first for me since 2019, was socially distanced, with masks on most faces most of the time.
We went back to church to church on May 23, Pentecost Sunday – but we are small and we literally know that every member is vaccinated.
Last year at this time, I was still in near total confinement. In the absence of another peak in infections, my comfort zone will continue to expand beyond 6 feet.
Beyond that, wait and see sums up my general approach to the rest of my life.
I am in good company. Three-quarters of respondents to emerging trends polls said they “feel confident” in making long-term strategic decisions, compared to less than half in the 2021 survey. We’re getting there.
Senior Business Writer Richard Mize has covered housing, construction, commercial real estate and related topics for the newspaper and Oklahoman.com since 1999. Contact him at [email protected]