1. Charlotte, N.C.
Interest in this city is fueled by a heavy concentration of banking and financial services, a massive regional hub airport, professional sports teams, and a major convention center. Watermark Capital Partners and Summit Hotel Properties recently made significant purchases in uptown Charlotte’s uptown.
2. Salt Lake City
As one of just a few major markets in the American West, Salt Lake City has become an attractive investment alternative to Denver. It has an up-and-coming economy with a focus on technology and is close to national parks and world-renowned ski venues.
3. Tampa, Fla.
Institutional capital has flooded the local multifamily, office, retail, and lodging sectors. Much of this has to do with the multibillion-dollar expansion of Tampa International Airport, as well as its signature downtown waterfront project, dubbed “Water Street Tampa,” being developed by Strategic Property Partners, a partnership of Bill and Melinda Gates’ Cascade Investments and Jeff Vinik, the owner of the NHL’s Tampa Bay Lightning.
While Houston was hard-hit by the decline of the energy sector, investors have found the market to be very resilient and well-diversified. A great number of contrarian capital sources are getting back into the market, especially in the Downtown, Galleria and Medical Center submarkets. Houston has also excelled of late in the convention arena with a greater concentration of larger and newer hotels available for the first time in decades to meeting planners.
5. College Towns
The combination of distinctive cultures, consistent and diverse demand, young and innovative workforces, and demographic growth makes them ideal target markets for many investors.