So back in January when I was building the foundation for this company. One of the challenges I needed to focus on was what, more precisely would be WHERE is my targeted market. The globe is a big place and you kind of need to narrow that down a bit. So, I started my initial list of places I would like to invest for one reason or another. There are so many things to consider but to stay methodical in my research I made a list of important features my area should have and rated them on a scale.
Some of the things that I found important when looking into an area are their state laws. Are they more favorable for the tenant or the landlord? Why would I initiate an investment in a state that makes it difficult for us to conduct our business? It just seems to make more sense to investigate areas that are favorable and fair.
The numbers… numbers… numbers. You can spin a story with numbers anyway you like but, looking at them independently, they do not lie. If an area’s population continues to rise year after year, guess what… there is growth, there will be demand! If one industry or worse a single company makes up a large percent of the workforce there, you are very much at the mercy of that one job force. Let’s try and diversify it up a bit. Who lives there? It would be silly to have 200 studio apartments in an area where the average household is 3.5 people. That is simply “know your customer” rule. What is it they need, want and like.
Blah, blah, blah.. I got you, let’s get with it…
Cincinnati’s population is growing, year after year. With a sweet spot of young professionals (25-34 years old) and 55+. Why do I like this? Simple, it is in our wheelhouse, 1- and 2-bedroom apartments. During this pandemic families are leaving in droves away from cities and dense areas. These apartments are not ideal for families of 5 or so. Singles and couples who are looking for a spare bedroom (office) seems to fit the bill nicely.
With 8 companies that have 10k or more employees that call Cincinnati home, spread over 4 major industries it is safe to assume there is no king in this Queen City. I encourage you to click the links and look at the data points yourself and determine your own story. Speaking of stories, please check out some of the ones under “More Facts”. They’re the blue lines in this excel file.
As always, please reach me directly with questions or concerns.