Key Real Estate Group LLC
David D. Sullivan, Key Real Estate Group LLCPhone: (720) 448-7236
Email: [email protected]

How Big Corporations Impact Residential Real Estate

by David D. Sullivan 02/02/2020

 Photo by Juhasz Imre from Pexels

Major corporations can change nearly everything about their surrounding areas and their effect on residential real estate can be truly substantial. The concentration of wealth in areas like Silicon Valley and Seattle has influenced even the most basic properties, causing otherwise unremarkable homes to be worth over a million dollars based on their location alone. We'll look at the patterns of residential real estate from the past and the predictions of the future. 

The Boom & Cool 

Much like the stock market, there's a flurry of activity in the real estate market when anticipation is in the air. Just the announcements that Amazon's HQ2 would be in Long Island City caused a major influx in properties both in and around the area. But the long-term effects for real estate aren't quite as extreme. 

Once Amazon switched their allegiance to Arlington, the value of the Long Island City cooled back down to its original levels. Even in the D.C. area, the effects have been moderate. After a year, Arlington saw some increases in value for homes near the future campus, but its mid-2030s arrival is causing some degree of hesitation for owners and developers. 

The Steady Rise 

The areas that see a steady climb are typically those that bring in a stream of businesses. These cities and towns attract diverse populations who contribute their talents and create a personality that others want to be a part of. Los Angeles made headlines for becoming its own haven for tech talent, creating the so-called Silicon Beach that spans through Santa Monica, Hermosa and Venice.

Google, YouTube, Snap, Inc. and Hulu are just a few corporations with offices in Silicon Beach. With San Francisco pricing even successful companies out of the market, the demand for luxury real estate in the LA area has increased due to the influx of well-paid engineers, developers and leaders. 

A single industry, such as oil or tech, can quickly raise the average salary to epic proportions. In Gillette, WY, a city dominated by fossil fuels, the average cost of a home increased from $236,978 to $272,100 over the course of just 7 years. So while Arlington may not have seen the immediate jump they were looking for, it may only be a matter of time. 

You can see prices being pushed up all over the country due to corporate investment. From Boston to Miami, it starts with the areas directly surrounding the area of the business before being pushed out to the suburbs and beyond. 

About the Author
Author

David D. Sullivan

"I can Help You achieve your Real Estate Goal. Free Consultation!"

Hi, I’m David Sullivan; I’m a residential Real Estate Specialist.

I work in the Denver metro area helping people buy or sell homes and investment property. For most people, their home is not only a place to live and raise a family; it’s also their most important financial investment I understand the importance and will ensure your best interest throughout the course of the Real Estate transaction. I’ve been in a military family, traveled the world and connected with a diverse and amazing group of people. I love helping people with real estate transactions. My life revolves around family, home, and helping people with their dreams of home ownership or selling and maximizing Sellers profits. Yes, I’m living the American Dream! Real Estate can be a very complex and overwhelming area to work in. It’s not always easy to juggle all the requirements of representing buyers and sellers, It’s really a 7 day a week job; I’m never “off the clock” and always willing to work hard and smart for my clients to ensure they get what they want. I get a great feeling from helping people buying or selling their home. If you would like to sit down with me to talk some more of how I can help you with your real estate plans, please email at [email protected] I’m here to help you Reach your Real Estate Goals!

Specialties:

Buyer's Agent, Listing Agent, Relocation, Foreclosure

There are many different facets to Real Estate, depending upon your individual situation I can provide expertise for:


1) First Time Home Buyers.
2) Listings(Selling your Home and receiving Best Offers)
3) Relocation.
4) Investors.
5) Upgrading Or Downsizing.
6) For Sale By Owner.
7) Short Sales.
8) VA and Military