How to leverage data to detect investment opportunities automatically?
The first step is determining which city has the best metrics.
We conducted a pilot study on five cities in the Dallas-Fort Worth metropolitan area. We compared Irving, Fort Worth, Dallas, Arlington, and Garland across population density, economic growth, construction density, development density, and existing building inventory density. If you are wondering why we focus on density, read the following article.
Which is the best city for investment in the Dallas-Fort Worth metropolitan area?
According to our density index, Irving, Texas, has the most favorable trends. Between 2010 and 2020, Irving had the highest current building density, construction activity density, and economic growth. It also takes second place in negative crime trends and third place in population density.
Irving has the most significant land constraint, with approximately two billion square feet of development capacity. Arlington, with a similar geographic area, has five billion, and Fort Worth, four times the size of Irving, has 23 billion square feet of development capacity.
Why is land constraint important for timing real estate investments?
Land constraint is a typical quality of a prominent downtown area. Think Manhattan, downtown San Francisco, and Miami Beach. In areas with little land left, the value of existing building fabric increases. The combination of land constraints with growing economic trends is a considerable value growth indicator.
Get in touch for the 2020 Dallas-Fort Worth MSA density investment index report.
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